 |
| Westlakes Apartments |
NBS
Financial Services’ Principal and Director of Seattle Production Mike Wood and
Associate Finance Officer Austin Johnson
have arranged a combined $19,418,000 in financing for a multifamily portfolio
totaling 291 units. NBS Financial represented both the borrower and lender.
Funding was provided by Fannie Mae through NBS Financial’s
correspondent relationship with Walker Dunlop.
The portfolio consisted of two, older Class-B
properties; Westlakes Apartments, a 181-unit complex in Olympia, WA, and Poplar
Lanes Apartments, a 110-unit complex in Lynnwood, WA.
 |
| Poplar Lanes Apartments |
Though successful, the transaction was not
without its share of obstacles. With zero debt on either property, the borrower
requested max leverage. Lenders are typically conservative about full cash-out
loans, especially for older buildings, which may be assessed as riskier. Yet,
NBS Financial was able to overcome these challenges and secure a 75% loan to value
at attractive terms.
“After
an exhaustive search of the market, we identified the most competitive lender
and the borrower locked in a sub 4% interest rate. If the Borrower were to go
out to the market today, the interest rate would be approximately 40 basis
points higher,” noted Mike Wood.
Wood
and Johnson structured a 12-year term and 30-year amortization.
No comments:
Post a Comment