Pillar Originates $40M in Multifamily Refinances

Pillar, New York, originated $39.9 million to refinance multifamily properties in Las Vegas, Atlanta and in Lexington, Ky.

Brent Wessel, Managing Director of Pillar’s commercial mortgage-backed securities practice in Irvine, Calif., originated a $16.2 million Freddie Mac loan to refinance Falcon Landing Apartments in northwest Las Vegas. The seven-year fixed-rate loan has a 30-year amortization schedule.

Wessel said the 198-unit garden-style community’s occupancy exceeds 95 percent.

Pillar also originated $18 million in Freddie Mac funds to refinance The Flats at Atlantic Station, an 86-unit student housing property near Georgia Tech in Atlanta. Director Colin Whittier secured the seven-year floating-rate loan for the 2006-vintage asset.

In Lexington, Ky., Pillar originated $5.7 million in Fannie Mae funds to refinance The Creeks on Tates Creek. Pillar Senior Director Joe Markech and Associate Brooke Jackson originated the 10-year fixed-rate loan with a 30-year amortization schedule. 

The new financing replaced the original bank loan put in place in 2012, Markech noted. “Since acquiring The Creeks on Tates Creek in 2012, our client has been renovating the property, completing more than $500,000 in interior and exterior renovations,” he said. The improvements included new roofs and doors, an upgraded swimming pool and community room and a new heating/air conditioning system. 

The Creeks on Tates Creek dates to 1968. “Aesthetically, The Creeks on Tates Creek looks much newer than other properties built 50 years ago,” Markech said. “We originated attractive terms for this loan, which is fully leveraged with a 75 percent loan-to-value, allowing the sponsor to recoup all of the renovation costs and secure additional equity.”