NEW YORK, NY — Lument recently closed a $33 million Fannie Mae conventional multifamily loan to refinance Stone Ridge Apartments, a 317-unit garden-style apartment community in Mobile, Alabama. Senior Managing Director Chad Hagwood and Vice President Brandon Pate in Lument’s Birmingham, Alabama office, led the transaction.
The sponsor of Stone Ridge Apartments has over 35 years of commercial real estate experience and a 15-year working relationship with Lument’s Hagwood. The refinance of Stone Ridge is the latest in a long list of successful Fannie Mae and Freddie Mac transactions they have completed together.
“Stone Ridge is a top-notch multifamily community managed by a top-notch sponsor, and we were happy to once again help them enjoy the many benefits of agency financing,” said Hagwood, “The Fannie Mae first mortgage retired existing debt that was approaching maturity, provided capital for improvements to the property and returned a substantial amount of equity to the borrower.”
The loan features a low, fixed interest rate, 12-year term with five years of interest only, and 30-year amortization. In addition, the loan has a maximum loan-to-value of 75%.
“Chad, Brandon and the entire Lument team did a great job of delivering on this loan,” said Jared Hauser, director of finance at Dominion Partners. “Not only did they come through with a low interest rate and substantial cash-out proceeds, they did so in a remarkably timely fashion, closing the loan in 45 days after application.”
Stone Ridge offers eight different floor plans throughout its 18 residential buildings. It was originally built in 2008 and recently underwent approximately $1.3 million in capital improvements and renovations, leaving the property in excellent condition. With the beneficial Fannie Mae permanent financing now in place, combined with the property’s track record of strong performance, Stone Ridge is poised for a bright future of providing high-quality housing to the residents of Mobile.
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, 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. For more information, visit www.lument.com.