Walker & Dunlop Arranges $12.4M for Iowa Independent Living Facility

Walker & Dunlop provides $12.4 million for an independent living asset in Iowa; and Beech Street Capital closes $18 million for an Orlando acquisition.

Cornerstone Apartments

Davenport, Iowa—Walker & Dunlop Inc. has provided a $12.4 million Fannie Mae refinance loan for Silvercrest Garner, an independent living facility located in Davenport, Iowa. The asset, known as Silvercrest Garner, is made up of two three-story buildings situated on 6.92 acres. Built in two phases in 2004 and 2007, the property features 81 units, a pub/lounge, library, theater, ice cream parlor, salon, fitness room, dining area and commercial kitchen.

The transaction was structured as a 30-year, self-amortizing loan that was underwritten to a 73 percent loan-to-value. The Walker & Dunlop team, led by Assistant Vice President Russell Dey, structured the transaction to potentially accommodate adding more units to the property during the term of the loan.

Beech Street closes $18M Freddie loan for Orlando apartments

Orlando, Fla.—Beach Street Capital has closed a $18 million Freddie Mac fixed-rate loan for the acquisition of Cornerstone Apartments, a 430-unit garden-style community located in Orlando, Fla. Senior vice presidents Mitch Sinberg and Michael Wallace, headquartered in Beech Street’s Fort Lauderdale office, originated the transaction.

The property had been lender-owned since March 2010 and managed by a third-party management company, which had been successful in raising occupancy and enhancing overall performance. The borrower plans to eventually renovate all units with kitchen and bath upgrades, washer/dryers in all units, new cabinetry, wood floors and stainless steel appliances.

“The borrowers’ demonstrated commitment to improving the property was a factor that weighed favorably with Freddie Mac,” says Wallace. “This helped us accelerate the process so that they closed within the terms of their purchase and sale agreement.”