San Bruno, Calif.—Red Mortgage Capital LLC has processed and funded a $72.2 million FHA Section 221(d)(4) insured mortgage loan that will provide for the rehabilitation and permanent financing of Pacific Bay Vistas. The 308-unit community is located in San Bruno, Calif., approximately ten miles south of San Francisco.
The asset was originally constructed in 1984. It was acquired by Aimco as part of a large portfolio acquisition. Proceeds of the FHA financing will be used to undertake a substantial rehabilitation of the property. The rehab will include new wall and ceiling insulation, replacing all exterior siding, new kitchen layouts and new Energy Star appliances, and the addition of dual pane windows. Common amenity improvements will include a fitness center, clubhouse with theater, indoor pool, outdoor covered heated lounge, a fenced dog park and sustainable landscaping.
“Everyone involved with the financing did an incredible job to deliver the most efficient financing for Aimco,” says Anthony Cinquini, senior managing director and lead banker for Red. “Support for this project from HUD San Francisco and, because of the loan size, HUD in Washington D.C., demonstrates their commitment to redevelopment and creating a beneficial asset for the local community.”
Walker & Dunlop provides $163.8M for Connecticut communities
Connecticut—Walker & Dunlop has landed a $163.8 million loan for Principal Management Partners for the refinancing of a four-property apartment portfolio in Connecticut. The group of assets encompasses 1,170 units in total.
Two of the properties, the 349-unit Hoyt Bedford Apartments and the 238-unit Morgan Manor Apartments, are located in Stamford, while the 450-unit Seramonte Apartments and the 133-unit Montoya Apartments are sited in Hamden and Branford, respectively.
Each property received its own loan, which had LTV ratios ranging from 79.2 percent to 80 percent, structured with a seven-year term with two-years interest only and a 30-year amortization.
Marcus & Millichap provides $9.2M cash-out refinancing
St. Paul, Minn.—Marcus & Millichap Capital Corp. (MMCC) arranged a $9.2 million cash-out refinancing for a 171-unit mid-rise multifamily property in Brooklyn Park, Minneapolis-Saint Paul’s second-largest suburb.
John “Jack” Mulcahey, an associate director in MMCC’s Minneapolis office, arranged the loan.
“Prior to seeking out MMCC, the sponsorship attempted to secure an HUD execution,” says Mulcahey. “The process, however, was too slow for the loan to close by the end of the 2011 calendar year when the existing financing was scheduled to balloon.”
“MMCC facilitated the transfer of ownership from a TIC to an LLC in 45 days and closed the transaction ahead of schedule, at a lower rate and with cash out,” concludes Mulcahey.
The 10-year loan is amortized over 30 years with a fixed 4.6 percent interest rate. The LTV is 75 percent. The property was built in 1968.