Hunt Real Estate Capital announced today that it provided a Freddie Mac conventional multifamily loan in the amount of $21.5 million to finance the acquisition of a multifamily property located in North Charleston, South Carolina.
Greenwood at Ashley River is a 280-unit, garden-style apartment community. The property consists of 35 residential buildings, one clubhouse, and two maintenance sheds. It has 262,896 square feet of net rentable area and is situated on 19.4 acres. The property also offers residents 528 parking spaces plus a full size soccer field.
The sponsor, Brick Lane, acquired the property from The RADCO Companies at an arm’s-length purchase. The loan has a 10-year term with five years of interest only, based on a 30-year amortization schedule thereafter. The deal is backed by key principals Erik Kudla, Jeff Gross, and Joseph Kelly of Brick Lane.
“The borrowers are experienced multifamily investors and repeat Freddie Mac sponsors with nine properties totaling over 2,500 units located throughout Maryland, Virginia, and South Carolina,” commented John Beam, Managing Director at Hunt Real Estate Capital. “Greenwood at Ashley River was built in 1974, and RADCO began renovations on the property upon acquisition in 2016. Since 2016, RADCO has invested over $4 million in capital improvements in the property.”
“While Greenwood at Ashley River is in good physical condition, the new owner plans to invest an additional $1.4 million in capital improvements and upgrades,” added Keith Morris, Director at Hunt Real Estate Capital. “Planned upgrades will target unit interiors, backyard fencing, office renovations, security enhancements, soccer field improvements, HVAC systems, flooring/decking, and roof repair.”
Community amenities consist of a swimming pool, playground, dog park, business center, and clubhouse. In addition, each residential building has a laundry facility.
“The local market is experiencing positive increases in both population and households, and there continues to be a need for quality, affordable multifamily housing, especially in this neighborhood,” added Beam.
Greenwood at Ashley River is located within North Charleston, the third largest city in South Carolina. The property is approximately 10 miles northwest of the Charleston Central Business District and the ports that line the Ashley and Cooper Rivers.