Walker & Dunlop Furnishes $340M Financing

The acquisition loan was used for Cortland's purchase of Pure Multi-Family REIT.
One of the portfolio properties. Image courtesy of Walker & Dunlop

Walker & Dunlop has structured $340 million in financing for Cortland’s acquisition of PURE Multi-Family REIT. The transaction, totaling $1.2 billion, featured 22 properties with a total of 7,085 units. Debt was secured for eight multifamily properties in major metro areas of the U.S. Sunbelt. These represented nearly half of the broader portfolio.

With the PURE Multi-Family REIT acquisition, Cortland became the largest Dallas-Fort Worth-area owner-operator. The company owns more than 60,000 U.S. units in the U.S.

Among the portfolio’s holdings are 2,170 units within urban or high-density suburban Southwestern U.S. markets, including Phoenix, Houston and Dallas. Cortland intends to invest substantially in improvements to each acquired property. Those enhancements, which will focus on exteriors, landscaping, amenities and interior unit finishes, are reflective of the company’s strong focus on improving the residential experience. 

In February, Cortland announced it had sold a portfolio of three Las Vegas senior living apartment communities targeted at 55-plus residents. The portfolio is comprised of Winterhaven, Sand Hill and Valley View, and was sold to welltowerLIVING for $86 million.

Walker & Dunlop drew on its network of capital providers, identifying Deutsche Bank as its choice of lending partner. The financing included flexible call protection and extension operations at a floating rate. The transaction was led by senior managing directors and co-heads of the New York City Capital Markets financing team, comprised of Aaron Appel, Keith Kurland, Jonathan Schwartz and Adam Schwartz, along with Director Michael Ianno.