Harbor Group International of Norfolk, Virginia received $151m in financing from Freddie Mac for the acquisition of The England Group Portfolio, a 2,368-unit multifamily portfolio in Texas.
Freddie Mac provided seven floating rate mortgages, each with a seven-year term; and two supplemental fixed-rate loans on two of the assets, each with a 7.58-year term, in conjunction with the approval of the first mortgage assumptions on those assets.
The loans on the portfolio of nine institutional-quality assets in the Dallas, Fort Worth and Houston areas include:
-36.2m first mortgage on Carrington Park Apartments, 3001 Communications Parkway, Plano, Texas.
-32.6m first mortgage on 330-unit Milano Apartments, 2500 Woodland Park Drive, Houston, Texas.
-19.7m first mortgage on 320-unit Sunset Oak Apartments, 3550 Timberglen Road, Dallas, Texas.
– 17.2m first mortgage on 238-unit Briarcrest Apartment Homes, 1330 MacArthur Drive, Carrollton, Texas.
-14.9m first mortgage on 216-unit Cypress Lake, 555 Butterfield Road, Houston, Texas.
-12m first mortgage on 216-unit Fossil Hill Apartments, 5700 North Beach Street, Haltom City, Texas.
-11.3m first mortgage on 224-unit Huntington Glen Apartment Homes, 2900 Harwood Road, Bedford, Texas.
-4m supplemental loan on 244-unit Villas at Waterchase, 165 N. Old Orchard Lane, Lewisville, Texas.
-3.4m supplemental loan on 216-unit Tall Timbers, located at 501 Sycamore Lane, Euless, Texas.
CBRE Capital Markets’ Debt & Structured Finance team secured the loans on behalf of the borrower.
Charles Foschini, who led the transactions with Christopher Apone and Christian Lee of CBRE’s Miami, Florida office, said in a statement:
“This transaction is an exceptional example of what CBRE’s platform has to offer. CBRE’s Miami office collaborated with the investment sales and debt teams in CBRE’s Dallas office to coordinate the loans. The Harbor Group is a fantastic buyer and completed the due diligence in a timely manner, which allowed Freddie Mac to commit and close the loans under very delicate time frames, ahead of schedule, in each of the three tranches of loans provided. The loans were aggressive both in terms of proceeds and terms material to a portfolio of this size and difficulty.”
Harbor Group International has a portfolio valued at approximately $4.2bn and currently owns more than 7.4m sq ft of commercial properties and about 29,000 apartment units.