Dealmaker: Eastern Union Arranges $54M for Indianapolis Multifamily

Eastern Union, New York, arranged $54 million in acquisition financing for a three-property multifamily portfolio in Indianapolis. The portfolio’s apartment count totals 628 units.

Michael Muller, Senior Managing Director with Eastern Union, made the arrangements. “The east side of Indianapolis has a substantial job base that’s been growing faster than the national pace,” he said. “The area has seen a surge in the construction of industrial space and occupancy and rent growth have been on the increase.”

The first property in the portfolio, Lake Marina at 9515 Shoreland Lane, received a $26.8 million mortgage. The 348-unit development dates to 1980 and encompasses 28 two-story residential buildings.

The second property, Country Lakes Townhomes at 2910 White Knight Blvd., assumed a $20.6 million mortgage. Country Lakes Townhomes has 184 units in 23 two-story residential buildings and a one-story clubhouse. It offers 92 two-bedroom and 92 three-bedroom townhomes, with an average unit size of 1,203 square feet.

The third community, the 96-unit Fountainview at 4800 North Post Road, received a $6.5 million mortgage. Built in 1965, Fountainview has eight two-story residential buildings with one- and two-bedroom units averaging 827 square feet.

The interest rate on the 10-year mortgage floats at a spread of 2.46 percent plus the one-month SOFR. The financing allows for interest-only payments for the first five years. Fannie Mae funded the loan; Arbor will act as the Delegated Underwriting and Servicing lender.

According to the Indy Partnership, expansion and attraction projects announced in 2020 will add nearly 9,400 jobs and more than $2.4 billion in capital investment to the Indianapolis region.