Walker & Dunlop Closes Loan for California Apartment Community
- Jun 25, 2012
Santa Clara, Calif.—Walker & Dunlop LLC, a subsidiary of Walker & Dunlop Inc., recently closed a $74.4 million Fannie Mae supplemental loan for Bella Vista Apartments, a Class A apartment community in Santa Clara, Calif.
The loan was structured with an 8.13-year term ahnd a 30-year amortization. The loan was underwritten to a 54.11 percent loan-to-value (combined first loan and supplemental loan) with a 1.33x debt-service coverage ratio.
“Interland Corporation is a long-standing client, and we had financed the original mortgage on the property in 2010,” Jeff Burns, Walnut Creek, Calif.-based senior vice president with Bethesda, Md.-based Walker & Dunlop LLC, tells MHN.
“The supplemental loan was used by Interland to purchase the fee-simple interest in the Bella Vista Apartments and an adjacent property.”
Built in two phases in the early 1990s by the borrower, Interland Corporation, Bella Vista Apartments is a garden-style community situated on 22 acres. At the time of closing, the community enjoyed 96 percent occupancy.
Its 634 one- and two-bedroom apartments feature new all-electric kitchen appliances, spacious closets, ceiling fans and balconies or patios. Cathedral ceilings and marble wood-burning fireplaces are features of top-floor residences.
Residents of Bella Vista Apartments enjoy plenty of spots to get to know their neighbors. The community features two clubhouses, three outdoor pools and spas and saunas. The main clubhouse offers a well-appointed resident lounge, fitness center, aerobics studio, library, fully-equipped kitchen, conference center with Internet access and a reception and mezzanine area. Additional amenities include a car wash area, gated entry and private garages in some buildings.
The Walker & Dunlop team was led by Burns and Verne Murray, also a senior vice president of the firm.
Don Lewis, Interland Corporation executive vice president, praised the expertise delivered by Walker & Dunlop LLC. “I always knew I could count on Walker & Dunlop to perform, and this latest transaction only confirmed that belief,” he said.
“With the complexity of supplemental financing, plus the size of the loan, it was great to have Verne, Jeff and their team at Walker & Dunlop assisting through the process.”