Multifamily - Debt, Equity

Northmarq secures acquisition financing for three property multifamily portfolio in Houston, Texas

Joint venture equity was secured by Northmarq

DALLAS, TEXAS (August 1, 2022) – Northmarq’s Dallas debt/equity team, led by Senior Vice President James Currell, Senior Vice President Joel Heikenfeld, and Vice President Emily Balazik, collaborated to arrange acquisition financing for three multifamily properties located throughout Houston. The portfolio, representing a combined 1,134 units, is owned by WindMass Capital. Northmarq negotiated the bridge loan for WindMass through its relationship with a bridge/mezzanine lender. “We were able to work with the lender to procure the most aggressive quote for this portfolio given the locations, financing request, and pricing expectation,” said Currell. “It was a challenge to source the right debt, but through a strong relationship with the lender and Northmarq we were able to secure the debt at attractive terms, which we might add were held through the volatility,” said Mitchell Voss. 

The Northmarq team also successfully delivered joint venture financing for the portfolio. 

“WindMass has strongly positioned the property to capitalize on value-add opportunities by renovating interiors and maximizing the quality of community amenities,” added Heikenfeld. The equity partner is someone WindMass has done over $225 million of equity with and bought over 7,250 units with. 

Sedona Square: The class B multifamily community (built in two phases in 1982 and 1983) contains 250 units spread across the community. The property offers residents a selection of one-, two-, and three-bedroom units. The property is about 20 miles from Houston’s downtown, allowing residents to have immediate access to shopping, dining and entertainment, with three shopping centers all within a half mile radius, while also enjoy close proximity to numerous outdoor and recreational activities. Commuters have quick access to I-69, as well as the Sam Houston Tollway, making accessing Houston convenient. 

Verano: The class B multifamily community (built in 1980) contains 312 units. The property consists of one and two-bedroom units. Verano Is located near Interstate 10 Sam Houston Tollway, and Westpark Tollway. The property boasts close proximity to major employment hubs, Energy Corridor and Westchase Energy Corridor, which collectively employs more than 144,000 employees. Residents enjoy the best of both worlds: an urban lifestyle with suburban surroundings. Three shopping centers are located within 0.2 miles, as well as a plethora of green spaces to enjoy the outdoors, with access to Terry Hershey Park, George Bush Park, McClendon Park, and Bear Creek Pioneers Park and others.

Rock Creek at Hollow Tree: The class B multifamily community (built in 1980) consists of 572 units and has one-, two-, and three-bedroom units. The property is located 20 minutes north of Houston’s CBD. With its closeness to I-45, commuters have easy access to Houston’s significant employment and entertainment centers. Three shopping centers are located within 1 mile of the property, as well as five parks and natural recreation opportunities within 8.6 miles, including Mercer Arboretum & Botanical Gardens (4.9 miles) and Spring Creek Greenway Nature Center (6.7 miles).  

Northmarq is an industry-leading capital markets resource for commercial real estate investors, offering seamless collaboration with top experts in debt, equity, investment sales and loan servicing. We combine industry-leading capabilities with an open, flexible structure, enabling our team of seasoned professionals to create innovative solutions for clients. Our solid foundation and entrepreneurial approach have built an annual transaction volume of over $30 billion, and loan servicing of nearly $70 billion.