Hunt Real Estate Capital announced today that it provided a Freddie Mac conventional multifamily loan in the amount of $24.22 million to refinance an apartment portfolio located in Indianapolis, Indiana.

Circle City Apartments is a 356-unit apartment portfolio comprised of six mid-rise buildings that range in size from 24 to 136 units. The portfolio was constructed from 1900 to 1929, and features a net rentable residential area of 231,000 square feet.

The borrower is Old Northside Capital Partners, LLC. The 10-year loan features full-term interest only with no prepayment due during the last 90 days of the loan.

“The borrower is a seasoned owner-operator that has managed 130 properties, including 15,000 multifamily units and 2,500,000 square feet of office and retail space, in IndianaTennesseeAlabamaOhioKansasKentuckyIllinoisMichigan, and Georgia,” said Xavier Salinas, Vice President at Hunt Real Estate Capital.

“The portfolio represented a repositioning opportunity for the sponsors, as they were able to invest significant capital in the property to more than triple the value of the property. Now that the portfolio is stabilized, it has become a long-term hold for the sponsors,” Salinas added.

The property was purchased in July 2015 and has since seen $10.9 million in capital improvements.

“Low vacancies and strong employment gains have driven the need for local, quality multifamily housing. We are pleased to provide the financing needed to secure this property for a solid investor,” concluded Salinas.