BWE, a national commercial and multifamily mortgage banking company, announced the closing of three financings totaling over $60 million to build, renovate, and provide permanent financing for three affordable multifamily housing properties located in major cities across Georgia, Tennessee, and Texas. The properties include Villages at Carver, Nashville Christian Towers, and Estates at Ferguson.
Jon Killough, BWE executive vice president in Alabama, and John Roberts, BWE vice president in Dallas, TX, originated the Freddie Mac tax-exempt loans on behalf of the borrowers.
“The affordable housing crisis touches every part of the country, and we are proud to leverage our close relationship with Freddie Mac to help these borrowers secure the best loan product for their needs, allowing them to continue operating these essential affordable housing options across the South,” said Killough. “We look forward to working with more affordable housing developers and operators to help build and preserve more homes across the country.”
The three properties are:
• Villages at Carver (Atlanta, Georgia), a $14,200,000 Freddie Mac Forward tax-exempt loan originated on behalf of an Atlanta-based developer and operator to fund renovations and permanent financing for the 220-unit, mixed-income garden-style apartment complex. Out of the 220 total units, 154 will be restricted at or below 60% of the area median income (AMI), with the remaining 66 units classed as unrestricted market rate units. Additionally, 66 of the LIHTC units will be designated RAD units for residents earning 50% of AMI, 44 of the LIHTC units are designated Section 18 units for residents earning up to 50% of AMI, while the remaining 44 LIHTC units will be unsubsidized at 60% of AMI. The 18-year fixed-rate loan with two years of interest-only payments has a 40-year amortization. As part of the recapitalization of Villages at Carver, an allocation of new 4% LIHTCs was also secured through the Georgia Department of Housing and Community Affairs.
• Nashville Christian Towers (Nashville, Tennessee), a $24,982,000 Freddie Mac Immediate tax-exempt loan and a $4,518,000 Freddie Mac Immediate tax-exempt gap loan originated on behalf of a Montgomery, AL-based developer and operator to refinance the 177-unit, Section 8 LIHTC, age-restricted high-rise apartment complex. Apartment amenities include a living area, kitchen, emergency call system, and safety bars. 175 units will be restricted to residents earning up to 60% of AMI. The 2-year interest-only gap loan was accompanied by a 17-year fixed-rate loan with a 40-year amortization and, as part of the recapitalization of the property, an allocation of new 4% LIHTCs was also secured through the Tennessee Housing Development Agency.
• Estates at Ferguson (Dallas, Texas), a $16,823,000 Freddie Mac Forward tax-exempt loan originated on behalf of a Dallas-based developer and operator to provide permanent financing for a planned 164-unit, age-restricted garden-style affordable housing development. Property amenities will include BBQ grills, resort-style ADA compliant swimming pool, community event center, theater room, community garden, fitness center, business center, and salon. Unit amenities will include energy star appliances, dishwasher, laundry connections, covered entries, and additional storage. The property will consist of 99 one-bedroom units and 65 two-bedroom units. 16 units will be designated for residents earning up to 50% of AMI and the remaining 148 units will be designated for residents earning up to 60% of AMI. The 15-year fixed-rate loan with two years of interest-only payments has a 40-year amortization. As part of the capitalization of the property, short-term tax-exempt bonds were issued by City of Dallas HFC and an allocation of 4% LIHTCs was also secured through the Texas Department of Housing and Community Affairs.
