NorthMarq Capital’s Dallas office arranges $48 million refinance of Lumina Apartments using Fannie Mae’s Green Program
DALLAS (January 18, 2017) – Stephen Whitehead, managing director of NorthMarq Capital’s Dallas-based regional office, arranged the $48 million refinance of Lumina Apartments, a 440-unit multifamily property located at 2700 Powell Street in Gresham, Oregon. The transaction was structured with a 10-year term with 5-years of interest only followed by a 30-year amortization schedule. NorthMarq arranged financing for the borrower through the Fannie Mae’s Green Rewards platform. The subject, constructed in 1990, was able to qualify for the Green Rewards through the borrower’s commitment to installing low-flow toilets over the next 12 months in order to achieve 20 percent water consumption savings and escrowing for these improvements. The property benefits from close proximity to the revitalized old downtown Gresham, providing residents with limitless options for places to eat, shop and experience entertainment. Apartment amenities include: a large fitness center, indoor and outdoor swimming pool, resident lounge, café, Mac and computer stations, Paw Spa pet wash and Bark Park for pets, bicycle repair room, updated technology, hotel-quality service, stainless-steel appliances, modern fixtures, custom cabinets, granite countertops and modern wood plank-style flooring. “The Green Financing Program is a win-win for all parties,” explained Whitehead. “Fannie Mae is able to promote a more environmentally-friendly product, the tenants save on their utility cost and the borrower gets the best loan terms available today. The transaction locked at a 166 spread, which is approximately 25 basis points below a comparable conventional transaction.” NorthMarq DUS National Production Director, Scott Suttle, added “Lumina Apartments is a great example of how an owner/operator is able to create a positive environmental impact while capitalizing on property operations and debt service savings through the Fannie Mae Green Program.” Fannie Mae’s Multifamily Green Program provides borrowers with a variety of benefits, including preferential pricing and additional loan proceeds for energy and water efficiency retrofits.
