Northmarq arranges $11.25M in acquisition financing for 78-unit multifamily development site
Image credit: Bucilla Group Architecture
LOS GATOS, Calif. — Northmarq's San Francisco Debt + Equity team, led by Cody Field, arranged $11.25 million in acquisition financing for 405 Alberto Way, on a premier land site approved for 78 residential units located in Los Gatos, California.
Northmarq arranged financing on behalf of the borrower, Sares Regis Group of Northern California, through a direct correspondent relationship with Stearns Bank. The transaction was structured on a two-year term, giving the developer enough flexibility to prepare the site for vertical construction.
“We successfully navigated a complex project for a sophisticated developer in an acquisition,” Field said. “The lender worked closely with us to create very competitive terms that work with the developers business strategy, this was a win-win for all parties.”
"Stearns Bank and Northmarq go back decades, and this transaction is exactly why," said Kris Holm, Vice President, Commercial Lending Manager at Stearns Bank. "Their team identified a well-qualified Bay Area developer ready to deliver much-needed housing in Los Gatos, and we were glad to provide the acquisition financing. We're looking forward to a long relationship with a developer so committed to addressing the housing need. Business Unusual personified.”
The site at 405 Alberto Way will be developed into 78 residential units and represents a rare opportunity to acquire a premier parcel in one of the South Bay's most supply-constrained communities.
Los Gatos is characterized by high barriers to entry, limited new residential supply, and strong demand fundamentals — factors that continue to attract experienced developers to entitled sites in the submarket.
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Northmarq is one of the largest privately held commercial real estate firms in the United States, combining a nationwide presence with deep local expertise. With more than 50 offices across the country, we provide a full suite of debt, equity, investment sales, loan servicing and fund management solutions for a comprehensive range of property types. Our unique structure allows us to connect clients with the best opportunities, yet be nimble enough to ensure access to every expert across our company. The firm manages a loan servicing portfolio of over $80 billion and has completed $91.3 billion in transactions over the past fours years. At Northmarq, collaboration fuels results, helping clients achieve success in every market, nationwide.
