Hunt Real Estate Capital provided two Freddie Mac Small Balance Loans totaling $7.42 million to finance the acquisition of two multifamily portfolios located in the Bronzeville neighborhood of Chicago, Illinois.
The hybrid loans are structured as 20-year fixed-to-floating rate loans with three years interest only, followed by a 30-year amortization schedule. Both proposed transactions will have a Tenant in Common, (TIC) structure with both parties owning 50% of each property. Jeffrey and Susan Drawdy are the transaction guarantors.
The properties include Bronzeville North Portfolio and Bronzeville South Portfolio.
Bronzeville North Portfolio
Hunt Real Estate Capital provided a $4.18 million loan to finance the acquisition of Bronzeville North Portfolio, a multi-property, walk-up portfolio totaling 53 residential units located at 4340, 4343, 4501 and 4846 South Michigan Avenue, and 4915 and 4919 South Calumet Avenue in Chicago. The portfolio was built from 1896-1911 and is 94% physically occupied. Hunt Real Estate Capital provided a $4.18 million loan to secure this property. Property amenities include parking and in-unit washers and dryers.
Bronzeville South Portfolio
Located at 5726, 5730, and 5901 South Prairie Avenue, 5216 South Michigan Avenue, and 6152 South Evans Avenue in Chicago, Bronzeville South Portfolio is a multi-property, walk-up portfolio totaling 37 residential units. The portfolio was built from 1895-2014 and is 92% physically occupied. Hunt Real Estate Capital provided a $3.24 million loan to secure this property. Amenities include parking and in-unit washers and dryers.
“The borrower is a quality, seasoned sponsor that has closed seven transactions with both Hunt Real Estate Capital and Freddie Mac, and all of their properties are performing well,” noted Owen Breheny, Managing Director at Hunt Real Estate Capital. “We were pleased to secure the financing for the acquisition of these two properties and to provide quality multifamily options to residents of the Bronzeville neighborhood of Chicago.”