Northmarq closes $37.6M sale and secures $25.55M Freddie Mac loan for The Square apartments in Los Angeles County

DOWNEY, Calif. — Northmarq’s Investment Sales and Debt + Equity teams have completed the $37.6 million sale and arranged $25.55 million in financing for The Square, a 112-unit multifamily community located at 12535 Brookshire Ave. in Downey, California.

Jim Fisher, Mike Smith, Vince Norris and Tommy Yates represented the seller, The Bascom Group. The Debt + Equity team led by Zalmi Klyne and Stanley Chu arranged financing on behalf of a private buyer, through a correspondent relationship with Freddie Mac.

The transaction was structured on a seven-year term with four years interest-only at a rate of 5.05%.

“The Square is a great asset that fills a much-needed demand for housing in Downey,” said Smith. “Tenants are drawn to the property for its large, renovated floorplans, including 43 three-bedroom units, and excellent location.”

“We were pleased to leverage our Freddie Mac relationship to structure competitive financing that aligned with the buyer’s long-term strategy and closed the loan on a truncated timeline,” said Klyne.

The Square is a rare 112-unit value-add multifamily asset located in Downey’s high-barrier-to-entry Gateway/605 Corridor. As one of only nine properties in the submarket with more than 100 units, it offers scale and upside in a supply-constrained market. The Square is one of the few vintage buildings in the area that has experienced extensive renovations. The building offers large floorplans, fireplaces and enclosed garages.

Prior ownership has renovated 71% of the units and added in-unit washer/dryers, generating rental premiums.

The property’s location near major freeways and transit provides direct access to employment hubs in Los Angeles, Orange County and the South Bay, making it a prime choice for working professionals.