Hunt Real Estate Capital provided a Freddie Mac Small Balance Loan in the amount of $5.18 million to refinance a multifamily property located in Orange, Texas.
Located at 3819 Meeks Drive, Terrace Vines Apartments consists of 14 buildings including 13, two-story walk-up apartment buildings containing a total of 104 residential units, and a leasing office.
The transaction is a seven-year fixed rate loan with interest-only payments for the first 12 months followed by 30-year amortization thereafter. The borrowing entity is QRH Prop One, LLC.
“The borrower purchased Terrace Vines in February 2016 and invested approximately $566,000 in capital improvements prior to Hurricane Harvey in August 2017 that flooded the downstairs units,” noted Tony Talamas, Vice President, Mortgage Banking at Hunt Real Estate Capital. “Since then, the owner has spent an additional $600,000 to renovate the 52 units that were damaged by the storm, quickly returning it to stabilization.”
The property is currently 99% occupied. The unit mix consists of 32 one-bedroom, one-bathroom apartments, 56 two-bedroom, one-and-a-half bathroom units and 16 three bedroom, one-and-a-half bathroom apartments and is situated on 6.49 acres of land.
“The borrower is an experienced multifamily investor that used his own and partners’ capital to renovate the property after Hurricane Harvey and successfully brought Terrace Vines online faster than its competitors,” added Talamas. “We were pleased to provide the financing to secure this property for a quality owner-investor.”
Property amenities include a leasing office, swimming pool, playground, laundry facility, business center, dog park, picnic area, and surface parking for 200 vehicles.
Orange, Texas is located in the Beaumont-Port Arthur metropolitan statistical area (MSA) and shares borders with the Houston-The Woodlands-Sugar Land MSA to the west and the Lake Charles MSA to the east.