Hunt Mortgage Group Provides a Bridge Loan for the Acquisition of a Multifamily Property Located in Irving, TexasNew York, NY — May 15th, 2015
New York, NY — May 14, 2015 — Hunt Mortgage Group, a commercial real estate lender, announced today that it has provided a $13 million bridge loan to finance the acquisition and rehabilitation of a multifamily property located in Irving, Texas.
Burn Brae Apartments, located at 42 West Northgate Drive, is a 282-unit apartment community that was constructed in 1982, with 221,966 square feet of net rentable area situated on 11.83 acres. The property is a garden-style complex that is comprised of 13, two- and three-story residential buildings and three single-story, free-standing buildings that house the leasing office/clubhouse and two laundry facilities.
The borrower is Northgate Investors, LLC, a newly formed Delaware LLC that is owned by four key principals, Daniel Joseph, Hagan Brown, Keith Guerraz and Gary Fogg.
“The new owners plan to complete significant capital improvements that will serve to improve curb appeal and overall value of the property,” noted Josh Messier, Vice President at Hunt Mortgage Group. “Planned renovations include upgrading unit interiors, building exteriors and amenities, and a clubhouse overhaul. Once the repositioning process is complete, the property will be rebranded as Sedona Park Apartments.”
The property currently features a swimming pool, hot tub, BBQ grills, carports, and moderate landscaping throughout. After completion of the proposed renovation a fitness center will be incorporated in the clubhouse, and a dog park, sport court, and outdoor kitchen will be added. Burn Brae also has 342 open surface spaces and 140 carport spaces for a total of 482 parking spots.
“As repeat Hunt clients, we were able to streamline the underwriting for Northgate Investors which enabled the transaction to close quickly,” added Messier. “The borrowers are experienced in acquiring and repositioning properties and have a successful track record in the Irving, Texas market. These attributes, along with a favorable rate and flexible structure made the transaction an ideal candidate for our proprietary bridge program.”
“Offering bridge lending capabilities to help our clients execute their business plans on value-add opportunities has been one of Hunt Mortgage Group’s key priorities and we are pleased that this arrangement worked well for this repeat customer,” said William Hyman, Senior Managing Director at Hunt.
“This is the second acquisition that we have financed through the Hunt team. For this particular transaction, Hunt was able to get up to speed quickly with our business plan and understood the vision for the improvements at both the asset and operational level,” commented Guerraz, borrower and Managing Partner with Rockport Equities. “Hunt provided the loan for our neighboring asset, Ladera Ranch Apartments, and recognized the physical and financial improvements that were achieved. We were very pleased with the speed of execution and collaborative process with Josh and the entire Hunt team.”
“Burn Brae Apartments is also well located near major employment and transportation centers, making it an attractive community for renters,” concluded Messier.
The Hunt deal team included Messier, J.R. Cole and Stacy Benton.
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Hunt Mortgage Group
Hunt Mortgage Group, a wholly owned subsidiary of Hunt Companies, Inc., is a leader in financing commercial real estate throughout the United States. The Company finances all types of commercial real estate: multifamily properties (including small balance), affordable housing, office, retail, manufactured housing, healthcare/senior living, industrial, and self-storage facilities. It offers Fannie Mae, Freddie Mac, HUD/FHA in addition to its own Proprietary loan products. Since inception, the Company has structured more than $21 billion of loans and today maintains a servicing portfolio of more than $12.5 billion. Headquartered in New York City, Hunt Mortgage Group has 191 professionals in 23 locations throughout the United States.