Walker & Dunlop Funds $32.2M Freddie Mac Loan
- Jun 28, 2012
Baton Rouge, La.—Walker & Dunlop LLC announced it recently provided $32.2 million in financing for Indigo Park Apartments, a Class A garden-style residential apartment community located in Baton Rouge, La.
The refinance loan was structured with a seven-year term with two-years interest-only and a 30-year amortization under Freddie Mac’s Fixed Rate Capital Markets Execution Program (CME). The loan was underwritten to an 80 percent loan-to-value with a 1.25 debt-service coverage ratio.
“Walker & Dunlop continues to be an integral advisor for the execution of capital strategy,” noted Steven DeFrancis, CEO of Cortland Partners, the sponsor of the transaction. “Steven Farnsworth has been able to deliver each time we have a need. Our ability to count on his performance is a competitive advantage in the market place.” Walker & Dunlop Senior Vice President Stephen Farnsworth led the Walker & Dunlop team.
Indigo Park Apartments is a 330-unit apartment community built in 2008 located less than three miles from Louisiana State University. The 38 percent student-occupied property is situated on 20 acres and offers one-, two-, and three-bedroom units in 13 residential buildings. Units feature granite countertops, wooden flat panel cabinets, upgraded appliance packages, built in microwaves, crown molding, and select floor plans feature vaulted ceilings, designer pendant lighting, track lighting and garden tubs.
Community amenities include a state of the art fitness center, billiards room, theater room with surround sound, wireless business center, outdoor grilling area, and a resort-style swimming pool with waterfall, beach style entry and outdoor cabanas. Indigo Park Apartments was 89 percent leased at closing.
Beech Street closes $26M Fannie loan
Irving, Texas—Beech Street Capital has provided a $26 million Fannie Mae Structured ARM loan to refinance Shadows of Cottonwood, a 504-unit apartment complex in Irving, Texas. The borrowers, a joint venture between Greystar and Buchanan Street Partners, were looking to take advantage of low interest rates.
“This product is ideal for experienced multifamily investors looking for low interest rates and short-term hold periods,” says Greg Reed at Beech Street. “The loan structure allowed for Beech Street to significantly increase cash flow to the borrower.”
Greystar and Buchanan Street picked up the property back in 2008. The community is located approximately 12 miles west of the Dallas central business district and is bordered by Cottonwood Creek Park and the Cottonwood Valley Golf Course. The 1983 built property consists of 34 garden-style buildings with an amenity package including three pools, spas, outdoor grilling areas, limited access gates, an athletic center, business center, clubroom and RV parking.
Achstone Begins New Development at Royal Palm Beach
Royal Palm Beach, Fla.—A joint venture between Archstone and FUTURA Acquisitions Group has broken ground on the Enclave at Wellington, a 268-unit asset located in Royal Palm Beach, Fla. The project will reflect Royal Palm Beach’s commitment to open spaces with a recreation trail with fitness stations encompassed by a new park and lakefront, dog park and substantial green spaces.
“The Enclave at Wellington is located in a neighborhood that is consistent with our investment strategy,” says Neil Brown, chief development officer at Archstone. “It has limited land on which to build new housing and has a strong, diversified economy.”
Royal Palm Beach is currently home to more than 34,000 people and has a standard to have at least 10 acres of park land per 1,000 residents. Bank of the Ozarks is providing the construction financing for the development. Holliday Fenoglio Fowler L.P. served as financial advisor for the joint-venture, and ARA brokered the joint-venture between the two development partners in the transaction.