Dealmaker: M&T Realty Capital Closes $71M in Multifamily, Senior Housing Deals

M&T Realty Capital Corp., Baltimore, closed $70.9 million in multifamily and senior housing transactions in Virginia and Illinois.

MTRCC closed a $55.8 million Fannie Mae conventional loan to refinance Penstock Quarter Apartments, a 327-unit property that is part of Gumenick Properties’ large mixed-use development in Richmond, Va.’s Libbie Mill-Midtown neighborhood.

Penstock Quarter Apartments are part of a two-unit condominium regime that was divided in conjunction with the refinance. MTRCC’s Fannie Mae loan will secure 100 percent of the residential units with the second condo unit comprised of retail spaces, also owned and operated by Gumenick Properties, Richmond.

MTRCC also partnered with specialty investment bank Ziegler, Chicago, to advise on a $15.1 million Fannie Mae refinancing for Carriage Oaks, a 55-plus age-restricted independent living community in St. Charles, Ill.

Essex Communities, Omaha, Neb., developed the community in 1999 under a not-for-profit entrance fee model. More recently, Essex converted Carriage Oaks to a market-rate rental model.

The 10-year, 3.99 percent fixed-rate loan included five years of interest-only payments followed by a 30-year amortization. The loan also carried a declining prepayment schedule, which will provide the borrower with additional flexibility in future years. Locking in long-term fixed-rate debt at a low interest rate was Essex’s primary goal in the refinancing transaction.

MTRCC Managing Director Steven Muth noted the transaction closed within 45 days from the signed application. Seniors Housing Platform Manager Matthew Pipitone also led the transaction for MTRCC.