NorthMarq’s Mike Padilla partners with Aeon to arrange acquisition financing of $16.8 million for affordable portfolio in Minneapolis and Edina

Mike Padilla, vice president of NorthMarq’s Minneapolis-based office arranged acquisition financing of $16.8 million for a multifamily portfolio of 16 properties (220 combined units) located in Minneapolis and Edina, Minnesota. The permanent-fixed loan was structured with a three-year interest-only term followed by a 30-year amortization schedule. NorthMarq arranged financing for the borrower, Aeon, a local non-profit, through its relationship with Freddie Mac. The mixed-income acquisition (with more than half of the units at or below 60 percent of area median income) of these 16 properties is a naturally occurring affordable housing (NOAH) preservation. 

“NorthMarq’s Minneapolis office and Freddie Mac Affordable team partnered with the highly skilled team at Aeon in the preservation of 220 affordable units. This acquisition also included equity investors with the cities of Minneapolis and Edina as well as The Greater Minnesota Housing Fund,” said Padilla. “The hard work and dedication of all involved made a large impact in what we acknowledge as an affordable housing crisis.”

In a release issued on the borrower’s website, NorthMarq was recognized for its continued partnership to preserve NOAH properties. ““This is the third time we have had the opportunity to partner with the NOAH Impact Fund and our second time partnering with NorthMarq to preserve a NOAH property,” said Aeon President & CEO Alan Arthur. “We’re thankful for their continued support and are also excited to partner with the City of Minneapolis and City of Edina on this deal. By supporting Aeon’s purchase of these 220 apartment homes, our partners were able to ensure the preservation of long-term affordability for hundreds of individuals and families.”

Edina Properties:

• 7008 Sandell Avenue, Edina, MN 55435

NE Minneapolis Properties:

• 759 Washington Street NE, Minneapolis, MN 55413

Minneapolis Properties:

• 2741 Grand Avenue South, Minneapolis, MN 55408

• 3018 Pillsbury Avenue, Minneapolis, MN 55408

• 3020 Pillsbury Avenue, Minneapolis, MN 55408

• 3024 Pillsbury Avenue, Minneapolis, MN 55408

• 3032 Pillsbury Avenue, Minneapolis, MN 55408

• 3114 Pillsbury Avenue, Minneapolis, MN 55408

• 2611 Pleasant Avenue, Minneapolis, MN 55408

• 2815 Pleasant Avenue, Minneapolis, MN 55408

• 3019 Pleasant Avenue, Minneapolis, MN 55408

• 3023 Pleasant Avenue, Minneapolis, MN 55408

• 3027 Pleasant Avenue, Minneapolis, MN 55408

• 3030 Pleasant Avenue, Minneapolis, MN 55408

• 3105 Pleasant Avenue, Minneapolis, MN 55408

• 3121 Pleasant Avenue, Minneapolis, MN 55408