Berkadia Secures $107M in Multi-Layered Financing for Portfolio of Las Vegas Properties
- Oct 07, 2014
Orange County, Calif.—The Orange County office of Berkadia Commercial Mortgage LLC arranged $106.9 million for a portfolio of seven multifamily properties located in Las Vegas. Vice President Jackson Cloak secured the floating-rate financing through Berkadia’s Freddie Mac and Proprietary Bridge Lending Programs, as well as BBVA Compass.
The borrowers are Angelo, Gordon & Co. and Interwest. In the aggregate, the properties consist of 2,149 age-restricted units and are all 90 percent occupied at minimum.
“This robust transaction required us to leverage our expertise across multiple capital sources,” says Cloak. “By calling upon our rich experience working with GSEs, banks and our own lending platform, we were able to provide the borrowers with unique and flexible loan structures not generally offered in the overall market to help them execute their business plans.”
Gelt Inc. enters Utah with 247-unit purchase
Salt Lake City—Gelt Inc. has made its entry into the Utah market with the acquisition of Murray Ridge Apartments, a 247-unit community located in Salt Lake City. The Los Angeles-based firm is looking to acquire at least 1,000 units in Utah.
“Salt Lake City is a very hot market that we have aggressively pursued over the past two years,” says Keith Wasserman, partner with Gelt. “We are pleased to acquire this prime property at significantly below replacement cost and at an excellent basis as very little product trades hands and many transactions occur off-market.”
Murray Ridge was picked up for $25.5 million. The property was developed in two phases, with 103 units built in 1973 and 144 built in 1977. The previous owners invested $3 million from 2007 to 2014. Funds targeted asphalt resurfacing, interior upgrades to select units, renovations to the leasing office and clubhouse areas, as well as pool upgrades. Gelt plans to make additional capital improvements to more units, as well as upgrades to common areas and landscaping. On-site amenities include a fitness center, clubhouse, barbecue areas, business center and swimming pool.
“This sizeable garden-style property has great bones, a nice unit mix of large, one- and two bedroom floorplans, and is also well-located in a desirable infill Salt Lake City location,” Wasserman adds. “We see a significant amount of upside in rent through a renovation of the property and improvements to management. Our company takes pride in transforming the properties we acquire into vibrant communities, while at the same time, realizing significant returns for our investors in the process.”
Wells Fargo provides $26M for mixed-use development in Raleigh
Raleigh, N.C.—Blue Ridge Realty and Lowe Enterprise Investors are moving forward with the Gramercy, a 203-unit mixed-use development in Raleigh now that construction financing is in place. Wells Fargo provided the $26 million construction loan for the project. Medalist Capital arranged financing for the development. Lowe Enterprises Investors joined the projected on behalf of an investment client. Blue Ridge Realty is serving as the developer.
“Blue Ridge Realty has been actively involved in commercial real estate in the Triangle Area since the early 1960s, and they have a strong reputation and track record,” says Bleecker Seaman, co-CEO of Lowe Enterprises Investors. “The Gramercy offers an attractive investment opportunity with a seasoned partner in one of the best locations in Raleigh.”
The six-story building will offer studio, one-bedroom and two-bedroom apartments with granite countertops, stainless steel appliances, 9-foot ceilings and individual balconies. The property will feature first-class design, finishes and amenities, including a clubhouse with kitchen and lounge area, resort-style pool, business center and gated covered parking. The architecture, as designed by J. Davis, will complement that of the surrounding neighborhood.