Northmarq arranges $23M sale, $18.265M acquisition financing for Douglas Terrace apartments in Racine, WI

RACINE, Wis. — Northmarq’s Chicago Investment Sales team led by Alex Malzone, Parker Stewart, Dominic Martinez and Jake Lamb, in collaboration with its Chicago Debt + Equity team led by Brett Hood and Kevin McCarthy, successfully arranged the sale and acquisition financing of Douglas Terrace Apartments, a 202-unit garden apartment community located at 3706 Douglas Ave. in Racine, Wisconsin.

Northmarq completed the $23 million sale representing the seller, MLG Capital LLC. The buyer was a private capital group from Illinois.

“Our team is excited to close another deal in Racine, Wisconsin, which shows the strong interest for workforce housing in the Midwest,” said Malzone. “Douglas Terrace, which has historically been 97%+ occupied, is a great example of the strong fundamentals of Southeast Wisconsin.”

Northmarq arranged the $18.265 million permanent-fixed financing on behalf of the borrower through the firm’s in-house Fannie Mae DUS platform. The transaction was structured on a seven-year term featuring four years of interest-only payments.

Built in 1966 and renovated in 2020, Douglas Terrace features a mix of studio, one-, two- and three-bedroom floor plans. Units feature stainless steel appliances, large closets, air conditioning, LVP flooring, a patio or balcony and extra storage space.

Community amenities feature a pool and playground, picnic area, on-site management and maintenance, laundry facilities, a pet-friendly environment and dog park, a gated community, and garage and off-street parking.