Hunt Real Estate Capital Finances the Acquisition of Two Multifamily Properties located in Arizona for the same Sponsor
— Total funding approximately $22.5 million —
New York, NY — November 30, 2018 — Hunt Real Estate Capital, a leader in financing commercial real estate throughout the United States, announced today it provided Agency loans of approximately $22.5 million to finance the acquisition of two multifamily properties located in Arizona.
Owners The Barone Group and their strategic partners backed both deals. Duke Stone at Churchill Capital Company represented the owners on both transactions.
The properties are located within seven miles of each other and include:
Canyon Woods Apartments – Phoenix, AZ: The property was built in 1984 and features 224 apartment units. The property is situated on approximately seven acres and consists of 12, two-story frame buildings. It is well maintained and features a quiet, family-friendly environment. Hunt Real Estate Capital provided a Freddie Mac loan facility featuring a 12-year term with 6-years of interest-only.
Upon acquisition, the borrower plans to implement a value-add capital improvements plan totaling just over $2 million to complete a variety of interior and exterior upgrades to improve property operations and better compete within the local market. Property amenities include a swimming pool, spa, picnic/playground area and laundry facility.
Shadow Rose Apartments – Glendale, AZ. The property was built in 1985 and features 148 apartment units. The property is situated on approximately 5.86 acres of land, and consists of 14, two-story frame and stucco buildings. It is in great physical condition and provides workforce housing for the local community. Hunt Real Estate Capital provided a Fannie Mae loan facility featuring a 12-year term with 9-years of interest-only. The transaction qualified for Fannie’s Green Rewards loan program where the borrower will implement certain water-saving improvements to the property in order to lower future utility expenses – and in return they locked an interest rate that was 83bps below standard Fannie Mae pricing at the time.
In addition to the Green Improvements the borrower plans implement a value-add capital improvements plan totaling just over $1.5 million to modernize unit interiors and common area amenities. The community features a swimming pool, spa, playground, laundry facility, and clubhouse.
“The Barone Group is a seasoned sponsor with more than 25 years of real estate investment, development and management experience,” added Cross. “Their firm, along with great partners like Bear Holdings Group and Churchill Capital, has acquired, managed and disposed of a wide range of multifamily assets throughout California, Arizona, Oregon and Nevada – and are known for improving and beautifully repositioning the properties in their portfolio. We were very pleased to work with them again to secure these quality properties.”
About Hunt Real Estate Capital
Hunt Real Estate Capital, part of Hunt Companies, Inc., is a leader in financing commercial real estate throughout the United States. The Company finances all types of commercial real estate: multifamily properties (including small balance), affordable housing, office, retail, manufactured housing, healthcare/senior living, industrial, and self-storage facilities. It offers Fannie Mae, Freddie Mac, FHA financing and its own Proprietary loan products. Since inception, the Company has structured more than $27 billion of loans and today maintains a servicing portfolio of more than $15 billion. Headquartered in New York City, Hunt Real Estate Capital has 241 professionals in 25 locations throughout the United States. To learn more, visit https://huntrealestatecapital.com/.
Hunt Real Estate Capital