Walker & Dunlop Secures $34M HUD Loan for VA Community

By Tudor Scolca

Meridian Parkside, at 1400 Summit Lane

Walker & Dunlop has provided a HUD loan for Meridian Parkside, a 308-unit apartment community in Newport News, Va. The company partnered with HUD’s Baltimore office to obtain a 35-year, low-interest loan totaling $34.4 million.

The owners, Dwight Dunton III of Bonaventure Realty Group and Philip Roper III, acquired Meridian Parkside in 2016 for $31 million. The loan will be used to pay off an existing bridge loan and a portion of a partnership debt assumed with the original acquisition. The financing obtained through HUD’s 223(f) program carries a note rate of 3.09 percent.

Property highlights

Meridian Parkside is located at 1400 Summit Lane, adjacent to the Hampton Roads Center Parkway, a major artery connecting Interstate 64 and Route 17. The 2008-constructed community sits on an 11.5-acre lot and comprises 20 buildings. The unit mix consists of 76 one-bedroom, 172 two-bedroom and 60 three-bedroom apartments, which range in size from 865 to 1,414 square feet. Amenities include a fitness center, waterscape, business center, clubhouse, a swimming pool and 360 parking spaces. According to Yardi Matrix, the property is 95 percent occupied, with monthly rents averaging $1,246.

Walker & Dunlop’s Senior Vice President Thomas Toland, Vice President Hal Reinauer and Managing Director Christopher Rumul represented the owners in this transaction. The firm recently provided a $44.7 million construction loan through HUD for the Hartman Building in Chicago, enabling the conversion of the iconic property into an apartment community.

Image courtesy of Walker & Dunlop