Greystone has provided $83m in multifamily loans on two properties located in the southeast region of the United States.
The first, a three-year, $58M bridge loan, recapitalizes the 510-unit Watermark at East Cobb Apartments in Marietta, Georgia.
The three-year loan, provided to Cortland Partners, was originated by Keith Hires and Greg Krafcik of Greystone and arranged by Mike Galla and David Collie of iCap Realty Advisors.
The loan repays current debt, recapitalizes membership interests by allowing Cortland Partners to buyout its partners and increase its ownership stake, and positions the firm for permanent financing.
“Since acquiring the asset in 2013, we have been able to create significant value through comprehensive renovations and intensive management,” said Mike Altman, CIO, Cortland Partners. “We are excited to increase our equity position as we continue to create value in the asset.”
Greystone provided a separate 10-year, $25M CMBS loan to refinance the 211-unit Addison Ridge multifamily property in Fayetteville, North Carolina.
The loan is interest-only for five years with a 30-year amortization and 75% loan-to-value ratio. The loan was originated by Greg Krafcik of Greystone and arranged by Jackson Howard of Capstone Capital.
Loan proceeds will be used towards the construction of Phase II of the garden-style property, which is located within close proximity to Fort Bragg.
“Securing CMBS financing was optimal for this multifamily property to be able to expand,” said Robert Russell, Head of Production for Greystone’s CMBS team. “The demand is high for housing in this region, especially with its large concentration of military personnel, and the borrower was able to secure five years of interest-only to adapt quickly to the increasing rental demand.”