Walker & Dunlop Provides $95M for North Miami Acquisition
- Apr 26, 2017
Walker & Dunlop Inc. has structured two loans totaling $94.7 million for Avesta Communities’ acquisition of Avesta Biscayne, an apartment community in North Miami, Fla. The 402-unit, Class B property sprawls across 11 acres and features six five-story residential buildings along with a clubhouse and leasing office.
Alison Williams and Matt Baldwin of the Walker & Dunlop Tampa office led the team. Walker & Dunlop met the borrower’s needs by arranging a six-month, $48.4 million loan through its proprietary bridge lending platform. This innovative financing solution offers floating rate interim loans to borrowers seeking to acquire or reposition multifamily and health care assets.
After just nine weeks, the Walker & Dunlop team transitioned the outstanding loan to a permanent Freddie Mac floating rate execution in the amount of $46.3 million.
The loan qualified for Freddie Mac’s Green UpSM program, and was structured as a 10-year term with five years of interest-only payments and a 75 percent loan-to-value. Avesta is planning major renovations for asset preservation and common-area amenity upgrades.
“By leveraging the Walker & Dunlop bridge lending program, we were able to provide Avesta Communities the flexibility to meet its closing timeline, fund initial capital improvements to the property and secure attractive long-term financing with Freddie Mac,” Williams said.
Added Rachel Ridley of Avesta Communities: “We are excited to be part of the North Miami transformation. Our $4 million capital improvement program is in good company with multi-billion-dollar developments in the neighborhood. Avesta Biscayne offers residents the convenience of a highly walkable location and easy access to beautiful North Miami Beach.”
Avesta Biscayne features a number of amenities, including a recently refurbished fitness center, tennis court and “bark park.” Within the North Miami Biscayne neighborhood, one of Miami’s fastest-growing enclaves, Avesta Biscayne is among the largest and best located apartment communities. It also provides convenient access to major roadways, job hubs and higher education centers.