Dealmaker: Newmark Realty Capital Secures $47M for Multifamily
Michael Tucker email@example.com
Newmark Realty Capital, San Francisco, arranged $47.1 million for multifamily properties in Seattle and Las Vegas.
In Seattle the firm arranged $21.7 million in financing for Union Bay Apartments. Located in the city's growing South Lake Union neighborhood, the seven-story, 74-unit community includes studios, one- and two-bedroom units and ground-floor retail.
Amazon.com plans to consolidate all its Seattle employees in an 11-building campus in the South Lake Union neighborhood.
Newmark Principal Andy Bratt and Associate Spencer Seibring of Newmark's Newport Beach, Calif., office structured the 10-year loan with a Wall Street lender. The sponsor, a privately owned Los Angeles developer, acquired the property two years ago and implemented a value-add strategy. When the property reached stabilization the sponsor sought to maximize cash out and lock in long-term fixed-rate financing. Bratt and Seibring worked with the lender to provide an underwriting structure focused on interest-only underwriting and maximizing loan proceeds.
In Las Vegas, Newmark arranged $25.4 million in financing for 188-unit multifamily property The Willows At Town Center, a gated community with one-, two- and three-bedroom units. The borrower plans to invest $1.8 million in capital improvements including enhancing the pool area, clubhouse and unit interiors.
Newmark Principal Adam Parker and Associate Vice President Chad Metzger arranged the seven-year fixed-rate acquisition loan through an agency lender. The loan included interest-only payments followed by a 30-year amortization schedule and some added prepayment flexibility in its last two years. The loan represented the ninth financing Parker and Metzger have arranged for this repeat sponsor.