Kennedy Wilson real estate management company has secured $62.6 million in Freddie Mac financing for the acquisition of a 430-unit Belara at Lakewood apartment community in a Seattle, Washington suburb.
The 10-year loan has a fixed-rate of 3.63 percent and a the loan-to-value of 77 percent based on the $81 million purchase price.
Shem Streeter, managing director of Kennedy Wilson Multifamily Investments, said in prepared remarks that the company has invested in Washington State for over a decade, particularly the Seattle submarket, which has experienced significant job and population growth.
“We will continue to look for opportunities to increase our presence in this area,” he said.
Belara at Lakeland is a garden style apartment community at 6170 Terrace View Lane in Auburn, Washington. The borrower purchased the property from an affiliate of California-based real estate investment firm ColRich Multifamily, which purchased the property in 2006, the same year the community was built.
Kennedy Wilson’s global apartment portfolio includes 135 communities with approximately 26,000 units, including ownership interest in 9,893 units across 39 communities in Washington.
Some anticipate that GSE loan volumes may eclipse $100 billion in 2016, as Real Estate Capital reported previously. The FHFA increased the multifamily lending caps for Freddie and Fannie from $31 billion to $35 billion this May.
Freddie Mac sold 2,879 deeply delinquent non-performing loans (NPLs) with an unpaid principal balance of $706.3 million from its mortgage investments portfolio to Lone Star Funds last month.