M&T Realty Capital Corporation®
has closed a $4,370,000 Fannie Mae loan for the refinance of a 34-unit 55+ age restricted community located in Kearney, NE. The transaction was worked in conjunction with Ziegler, a specialty investment bank headquartered in Chicago, IL.
The 10-year, fixed-rate loan was structured at 75% loan-to-value with 2 years of interest only payments, followed by 30 years of amortization. The loan also carried a declining prepayment schedule, which will provide the Borrower with additional flexibility in future years. The deal was originally quoted to include a COVID-19 debt service reserve escrow, which was later waived prior to loan’s final approval.
The community had an impressive occupancy history and was 100% occupied at the time of closing. Ownership had completed $985,000 ($29k/unit) in community improvements consisting of new exterior paint, new common area flooring, interior paint, furnishings, artwork, upgrades to the wellness/fitness area, improvements to the main entrance, added exterior garages, upgrades to the property’s landscaping and replaced unit countertops, flooring, appliances and lighting. The Fannie Mae loan reimbursed the borrower for capital expenditure investments and provided equity-out to assist with the company’s growth strategy.
The transaction was led by Managing Director Steven Muth of M&T Realty Capital Corporation’s Richmond, VA. Director Eric Johnson led the transaction for Ziegler from the company’s Denver, CO office.
M&T Realty Capital Corporation has been a Fannie Mae-approved Delegated Underwriting and Servicing (DUS®) lender since 1989.
As a Fannie Mae DUS® lender, M&T Realty Capital Corporation originates and services loans for apartment properties, including seniors housing, student housing, manufactured housing communities, cooperatives, and affordable housing.
For specific loan information on this program, please call us at 1-800-737-2344 or request a loan quote.
All loans and all terms referenced herein are subject to receipt of a complete application, credit approval, and other conditions.