River Rock Capital Secures Financing for Austin Asset
NewPoint Real Estate Capital LLC provided $35.3 million for the acquisition and lease-up of the property.
Austin skyline. Image courtesy of justraveling via pixabay
River Rock Capital has landed $35.3 million in bridge loan financing for the acquisition and lease-up of its community in Round Rock, Texas. NewPoint Real Estate Capital LLC provided the funding for the 198-unit property, Siena Round Rock.
The funding is a two-year floating-rate bridge loan with three one-year options for extension. Once the asset is stabilized, River Rock expects to try and secure permanent agency or HUD/FHA financing.
Siena Round Rock is currently 97 percent leased after opening for leasing in January, according to Yardi Matrix data. The community features studio, one- and two-bedroom apartments ranging from 597 square feet to 1,137 square feet.
“Located just north of Austin, Round Rock has recently been touted as one of the most livable cities in the country thanks to its low cost of living and relatively high median family income from close proximity to leading employers in the tech, healthcare, e-commerce and transit sectors,” Brian Skurnik, managing director of proprietary lending at NewPoint Real Estate Capital told Multi-Housing News. “With its premier location in one of the top 20 fastest growing cities in the country, it is no surprise that Siena Round Rock was so well received by the market.”
Located at 6531 County Road 110 Round Rock, the property is situated some 27 miles northeast of downtown Austin. Interstate 35 is 6.5 miles from the property, providing residents with access to Austin as well as employers such as Apple, IBM, Oracle, Tesla and Samsung.
Community amenities at Siena Round Rock include a pool with beach entry, a fitness center, a dog park, billiards and outdoor grilling stations. Individual apartments feature walk-in closets, Ring doorbells and washers and dryers.
Meridian Capital Group’s Managing Director Judah Hammer, along with Vice President Daniel Neiss, represented the borrower.
Austin multifamily on the rise
Round Rock is one of the more affordable submarkets in the area. According to Rebusiness Online, North Austin, including Round Rock, is the Austin area that is experiencing the highest growth in new construction.
Overall, Austin rents rose 0.8 percent on a trailing three-month basis through this May, while occupancy rates rose to 95.7 percent in April.
