Dealmaker: Greystone Provides $81M for California Multifamily

Greystone, New York, provided a $70.8 million Fannie Mae Delegated Underwriting and Servicing loan to refinance the newly constructed 251 Brandon Street apartments in San Jose, Calif.

Greystone’s northern California advisory team of Simon Herrmann, Todd Vitzthum and Cody Field closed the deal.

The 10-year fixed-rate loan allows eight years of interest-only payments.

“With impending and unknown interest rate increases, locking in a rate and closing the transaction quickly was of utmost importance to the borrower, who had owned the land for years prior to construction and recently completed the ambitious 271-unit project,” Field said.

Located in a tech hub that serves as home base to many employees of Facebook, Google and Apple, the mid-rise building became fully stabilized shortly after completion.

“The fundamentals for the San Jose rental market are certainly strong, with a bevy of job opportunities and many potential home buyers being priced out of the market,” Field said.

Greystone also provided a $10.6 million interest-only Fannie Mae DUS loan to refinance Casa Bella Apartments in Los Angeles. Greystone Managing Director Matt Stevens originated the loan with First Pacific Financial Founder Don Salka acting as correspondent on the transaction.

Located in western Los Angeles’ Brentwood submarket, Casa Bella Apartments includes 43 studio and one-bedroom units in a three story mixed-use complex with ground-floor retail suites.

“In today’s rising rate environment, the timing was right to refinance this Class A asset as a long-term holding,” Stevens said.