Hunt Real Estate Capital announced today that it has provided a $17.2 million Fannie Mae conventional multifamily loan to refinance a multifamily property located in Toledo, Ohio.
Steeplechase Apartments is a 242-unit, garden-style apartment community that was built in phases from 1999 through 2004. The property is comprised of 12 garden-style apartment buildings and 15 duplexes situated on a 19.5 acre site.
The loan has a 12-year term and a 30-year amortization schedule, and the first two years are interest only.
“Hunt Real Estate Capital provided the initial acquisition financing on this asset in 2017, and we are happy to have partnered with the owner through stabilization,” stated Zach Casale, director at Hunt Real Estate Capital. “By providing an initial bridge loan for this property, Hunt structured a short-term loan used to increase occupancy and value over the course of three years.”
The property was built in three different phases. In 1999, the first seven two-story buildings were constructed, followed by five three-story buildings, and finally 15 duplex buildings.
“Since acquisition, the borrower has invested $524,000 in capital improvements onsite,” added Casale.
Completed capital improvements include the installation of new water heaters, appliances, windows, landscaping, vinyl replacement, HVAC upgrades, as well as carpet replacement
“By providing a fixed-rate, long-term loan for the sponsor and their investors, this transaction demonstrates Hunt’s ability to assist our clients in achieving their business plans over time. Even during the COVID-19 pandemic, which has resulted in tumultuous changes for our industry, we were able to secure a mid-3% rate with two years of interest only at full dollars for our repeat borrower,” concluded Casale.
The property is located in the western area of Toledo in the Sylvania submarket.