Dealmaker: Dwight Capital, Dwight Mortgage Trust Close $663M in Multiple Transactions

(Cover image: The Lariat at Abilene, courtesy of Dwight)

Dwight Capital, New York, and its affiliate REIT, Dwight Mortgage Trust, closed $663.2 million across multiple transactions in May.

Dwight Capital closed a $114 million HUD 221(d)(4) substantial rehabilitation loan for the conversion of a large multifamily property–100 East Wisconsin in downtown Milwaukee. Dwight reports it was the largest multifamily HUD loan in Wisconsin history, and the largest HUD 221(d)(4) construction loan in Dwight Capital’s history.

The building–currently offices–will be transformed into a 373-unit apartment community. 100 East Wisconsin is on the National Register of Historic Places, which qualifies it for federal and state historic tax credits. The city of Milwaukee also authorized a tax increment financing package of up to $16.6 million through a newly established tax increment district.

Loan proceeds will be used for the development’s construction and permanent financing. Dwight Capital Managing Director Keith Hoffman and Jack Tawil originated this loan on behalf of the developers, Klein Development, led by Joe Klein, Michael Klein and Derek Schneider and MOS R.E., led by Johnny Vassallo.

Dwight Capital also financed a $66 million HUD 221(d)(4) construction loan for a 312-unit luxury multifamily development in Abilene, Texas, which will be called The Lariat at Abilene.

Partner Brandon Baksh and Tommy Ng originated this loan on behalf of repeat Dwight client Austin Martin, partner of Martin Inderman Development.

And, DMT closed a $55 million new construction loan for a 104-unit mixed-use project in Kaser, N.Y, in Rockland County–10 Ashel Lane. The loan will be used to fund the acquisition and ground-up construction, and cover closing costs.

The transaction was originated by Katie Goldenberg on behalf of the sponsor, Simon Dushinsky of Sky Equity Group, and arranged by Steven Hersko of The SHB Group.