Dealmaker: NorthMarq Capital Secures $47M to Refinance Omaha Assets

NorthMarq Capital, Minneapolis, secured $46.5 million to refinance three Omaha, Neb. properties.

Bob Chalupa, Vice President in NorthMarq Capital’s Omaha office, secured $41.5 million to refinance Villas of Omaha at Butler Ridge and The Flats at 84.

Built in 2015, Villas of Omaha at Butler Ridge has 253 one- two- and three-bedroom units. The 444-unit The Flats at 84 dates to the same year.

Chalupa structured the loan with a 25-year term with two years of interest-only payments followed by a 25-year amortization schedule. A life insurance company supplied the financing.

“We were able to secure a forward commitment and a master lease structure for the borrower, which took away interest rate risk,” Chalupa said.

NorthMarq also secured $5 million to refinance Stonegate Center, a 96,500-square-foot Omaha industrial property. Senior Vice President and Managing Director Steve Ruff and Investment Analyst Eric Petersen arranged the 10-year life insurance company with a 20-year amortization schedule.

“We were able to obtain a very competitive, sub-four percent rate for a long-term borrower by highlighting the strengths of the subject location and sponsorship, even with a large, non-traditional tenant in place,” Ruff said.

In Kissimmee, Fla., NorthMarq Capital Senior Vice President and Managing Director Melissa Marcolini-Quinn and Vice President Brad Downing arranged $3 million in construction financing for Hawthorn Suites, a 108-room hotel property at 3010 Reedy Creek Boulevard. A private debt fund provided the two-year interest-only loan. 

“The deal was a gut rehab of a 108-room failed hotel/condo conversion,” Marcolini-Quinn said. “Our client reached out to us mid-construction to source a lender to provide capital for construction completion.” She noted despite the legal and logistical challenges involved the lender was comfortable with the deal due to the client’s significant equity position and proven hotel repositioning track record.