Dealmaker: Berkadia Secures $99M for Multifamily
Berkadia secured $99.2 million for apartment communities in Washington, Arizona and Massachusetts.
In Everett, Wash., Berkadia brokered the sale of Colby Creek, a 336-unit garden-style multifamily property. Senior Managing Director Kenny Dudunakis and Senior Directors Benjamin Johnson and David Sorensen of the firm’s Seattle office completed the $80.35 million sale on behalf of seller FSC Realty LLC, Beverly Hills, Calif. The buyer was Canada-based RISE Properties Trust partnering with Aegon Real Assets US.
Senior Managing Director Ed Zimbler and Associate Director Ben Harris of Berkadia’s Los Angeles office secured $58.5 million in acquisition financing via a seven-year floating-rate Freddie Mac loan on behalf of Rise Properties Trust and Aegon.
Johnson noted Colby Creek will allow Rise and Aegon Real Assets US to execute their value-add strategy and take advantage of positive market trends.
Berkadia also closed the sale of and secured financing for The Bungalows on Olive, a 153-unit multifamily property in Peoria, Ariz., that opened in 2018.
Silver Star Real Estate, Van Nuys, Calif., acquired the single-family rental asset. Yardi Matrix reported the property traded for $37 million.
Berkadia Senior Managing Directors Mark Forrester and Ric Holway and Senior Director Dan Cheyne from the firm’s Phoenix office represented seller 83rd Ave & Olive LLC in the transaction. Associate Director Tom Wolff from Berkadia’s San Diego office secured a $23.8 million senior loan from Freddie Mac, McLean, Va. The deal closed on December 10.
Forrester called Bungalows on Olive a horizontal single-family rental community close to “significant and growing” multifamily demand generators in Phoenix’s western suburbs.
“Many lenders have recently warmed up to the detached rental housing model, which allowed us to deliver a wide menu of capital options to the buyer,” said Wolff.
Located at 8201 W Olive Ave., Bungalows on Olive is a single-story, low-density site with one-, two- and three-bedroom floorplans.
In Massachusetts, Berkadia secured $16.9 million for two Massachusetts apartment properties. Lakeview Avenue Apartments, a 92-unit garden-style property in Reading, Mass., received $12.5 million and 34-unit Stoneham, Mass. community Marble Park Manor Apartments received $4.4 million. Senior Managing Director Ryan Nelson and Director Anthony Golebiewski of Berkadia’s Boston office secured separate non-recourse 15-year loans for the properties at a 3.53 percent fixed interest rate.
A northeast regional bank supplied the financing to owner Albiani Management, Winchester, Mass.