New York, NY — Lument has announced the closing of a $26 million Fannie Mae DUS® conventional multifamily loan to refinance Garden Hill Apartments, a 591-unit mid-rise portfolio in Hartford, Connecticut. Josh Messier, managing director in Lument’s New York office, led the transaction.

Originally constructed in 1963, Garden Hill Apartments is a 20-property portfolio with 20 separate buildings and a combined eight acres. The portfolio was purchased by the current sponsor in 2012 during a time of distress, as occupancy averaged 65%. The sponsor steadily improved the community over the years, resulting in a current occupancy rate of approximately 98%. To further enhance the portfolio and provide funds for additional acquisition opportunities, the sponsor sought to refinance existing debt while also obtaining cash-out proceeds.

“The experienced sponsors of Garden Hill Apartments are repeat Fannie Mae clients and are well-versed in the ample benefits of an agency execution,” said Messier. “In addition to refinancing existing debt at a low, fixed rate, the successful closing allows the sponsor to continue to reinvest in Garden Hill with strategic unit upgrades while also investing in additional multifamily housing opportunities via substantial cash-out proceeds.”

The Fannie Mae loan features a 10-year term, five years of which are interest only, and 30-year amortization schedule.

Garden Hill Apartments is 100% mission-driven with all units affordable to renters at 60% of area median income (AMI) and 88% of units affordable to renters at 50% AMI.

“The properties provide important, high-quality rental housing to a large workforce community in the Hartford area,” Messier noted. “We were pleased to provide this execution for a strong, local sponsor through David Betesh of Rockwell Mortgage Capital Advisors.”

About Lument
ORIX Real Estate Capital Holdings, LLC, d/b/a Lument, is a subsidiary of ORIX Corporation USA. Lument is a national leader in commercial real estate finance. As the combined organization of legacy industry experts Hunt Real Estate Capital, Lancaster Pollard, and RED Capital Group, Lument delivers a comprehensive set of capital solutions customized for investors in multifamily, affordable housing, and seniors housing and healthcare real estate. Lument is a Fannie Mae DUS®, Freddie Mac Optigo®, FHA, and USDA lender. In addition, Lument offers a suite of proprietary commercial lending, real estate investment sales, investment banking, and investment management solutions. Lument has approximately 600 employees in over 25 offices across the United States. Securities, investment banking, and advisory services are provided through OREC Securities, LLC, d/b/a Lument Securities, Member FINRA/SIPC.  Investment advisory services are provided by OREC Investment Management, LLC, d/b/a Lument Investment Management. OREC Investment Management is registered as an investment adviser with the U.S. Securities and Exchange Commission. For more information, visit