L.A. Portfolio Refinanced for $550M
In the largest deal to date for Fannie Mae's Green Rewards program, Walker & Dunlop structured loans for four Los Angeles-area communities owned by Douglas Emmett Inc.
By D.C. Stribling, Contributing Editor
Barrington Plaza
Douglas Emmett Inc. has obtained a $550 million refinancing package for a Los Angeles portfolio.Â
The interest-only loans are backed by four apartment properties owned by the REIT in Los Angeles and Santa Monica, Calif. One of the assets is Barrington Plaza, located in Los Angeles, which is one of the larger apartment communities on the West Coast, with a 712 units. The property dates from 1963, but was renovated in the late ’90s.
Financing
About 90 percent of the total loan amount, or close to half a billion dollars, qualified for Fannie Mae’s Delegated Underwriting and Servicing (DUS) Green Rewards program. That makes it the largest transaction to date closed using Fannie Mae’s Green Rewards.
Walker & Dunlop managing director Allan Edelson led the team that structured and closed the loans in the second quarter of 2017. Their all-in rate is less than 3.2 percent.
“The loans took advantage of Fannie Mae’s DUS Green Rewards program, which involved environmental upgrades to three of the four properties in this financing,” Edelson said. “These improvements allowed the borrower to secure competitive loan terms while ensuring more sustainable operations and cost savings.”
