Tower Commercial Mortgage, through one of its capital partners, recently arranged permanent financing for $2.95 million in Freddie Mac financing.
The financing was used to take out the construction loan for the newly built multifamily asset, Brickyard Apartments, that was stabilized in 2017, located in the Salt Lake City area. The originated loan features a 10-year term with a 10-year floating rate extension and a 30-year amortization schedule. The sponsor completed the 24-unit property in August 2017, and the property was stabilized in December 2017. Tower Commercial Mortgage had arranged the construction financing previously to construct the property. The borrowers were not disclosed.
The sponsor approached Tower Commercial Mortgage two years ago to find construction financing for the project. The sponsor had been looking for two years and was unable to secure financing. Tower Commercial Mortgage was able to secure construction financing within six weeks.
Mike De Carlo, President of Tower Commercial Mortgage, said, “We are thrilled with the outcome of this loan, as the project was a very successful project, and that the property’s sponsor couldn’t be happier.” He said, “Salt Lake City, Utah is rapidly growing and demand for housing is strong. There are many people moving in from outside the state, attracted to the many recreational activities the state of Utah offers. So new multifamily projects are necessary to keep up with the additional demand.”