Dealmaker: Newmark Secures $33M for Multifamily

Newmark, San Francisco, secured $33.7 million in bridge and permanent financing for multifamily properties in Texas and Montana.

In Waxahachie, Texas, Newmark Principal Andy Bratt and Associate Spencer Seibring placed $22 million in bridge financing for Hunter’s Cove Apartments. Greystone, New York, provided the two-year financing sized to 80 percent of purchase price.

Loan terms included 12 months of interest-only payments.

In addition, Newmark and Greystone’s HUD groups are processing the HUD 233(f) permanent financing, which they anticipate will close within six months.

“We were engaged by our repeat sponsor to arrange bridge-to-HUD financing on this acquisition,” Bratt said. “The sponsors entered into a 1031 Exchange with the loan request for max proceeds and term.” He said Greystone offered the best overall structure on both the two-year floating-rate bridge loan and the 35-year fixed-rate HUD loan”

The subject property contains eight three-story Class A apartment buildings totaling 192 units, Bratt said.

Working from Spokane, Wash., Newmark Principal Demetri Koston arranged an $11.7 million permanent financing for Creekside Apartments in Bozeman, Mont. The new Class A property includes 72 units. The first five years of the 12-year fixed-rate loan are interest-only, followed by an amortization based on a 30-year schedule. 

A correspondent lender based in the Pacific Northwest supplied the non-recourse loan. Koston noted the loan required no personal guarantees for repayment.