Walker & Dunlop Secures $179M in Calif., Fla.
Walker & Dunlop, Bethesda, Md., closed four Freddie Mac Capital Market Execution loans totaling $137.9 million secured by an Orange County, Calif. multifamily portfolio.
W&D Vice President Bill Battaglia and Loan Officer Steve Natale structured utilized Freddie Mac’s Index Lock and 150-day Early Rate Lock programs to lock the treasury on the same day the borrower applied and close the loans five months later. They structured the refinances as 10-year fixed-rate loans that included five years of interest-only payments.
“With growing volatility in the treasury market, Freddie Mac’s Index Lock program has become a critical tool used by borrowers to gain more certainty in their cost of debt and, ultimately, their loan proceeds,” Battaglia said. “Equally impressive is the speed of that execution. In this case the borrower was able to lock the treasury on the same day they submitted their signed application.”
The portfolio consists of four garden-style properties totaling 819 units in Huntington Beach and Anaheim, Calif.
Walker & Dunlop also arranged $41 million for Elan Towne Center in Sanford, Fla. Senior Vice President Paul Ahmed led W&D’s team structuring the 15-year loan.
“As the demand for luxury apartments continues to grow in the Florida market, so does the demand to close deals quickly with the current low interest rate environment,” Ahmed said.
Built in 2014, the Class A property includes 360 units with one-, two- and three-bedroom floorplans. The 80 percent occupied property experienced significant lease-up after closing and occupancy now exceeds 90 percent.