NorthMarq Capital arranges three multifamily transactions totaling $58.1 million

LOS ANGELES (June 4, 2014) – Michael T. Elmore, executive vice president/managing director of NorthMarq Capital’s Los Angeles based regional office arranged the refinancing of three multifamily properties, Cantabria Apartments, Serena Vista and Villa Del Sur worth a combined $58.1 million. NorthMarq worked closely with the borrower, Advanced Real Estate Services, on all three transactions. Serena Vista: This 172-unit multifamily property, located at 10300 La Hacienda Avenue in Fountain Valley, California, was refinanced at $27.3 million. The transaction was structured with a 10-year term and 30-year amortization schedule. Financing was provided by Fannie Mae on a cash out 1.25 debt coverage ratio. The loan paid off the existing loan and returned all of the equity from a 2009 purchase. Villa Del Sur: This 112-unit multifamily property located at 2701 W. McFadden Avenue, Santa Ana, California was refinanced at $12.55 million. This Fannie Mae loan had the same terms as Serena Vista. This was NorthMarq’s second financing of the asset and it provided the borrower with nearly $5 million in excess cash out for future multifamily acquisitions. “These were the fourth and fifth Fannie Mae loans in the past eight months for the borrower—excellent terms and flawless execution yet again,” said Elmore. Cantabria Apartments: This 97-unit multifamily property, located at 7835 Oleander Circle in Buena Park, California was refinanced at $13.8 million. The transaction was structured with a 30-year term with 5-years fixed followed by a 25-year floating rate period. NorthMarq arranged financing for the borrower through its relationship with a national bank, who was willing to implement an aggressive 1.15 debt coverage ratio to accommodate a refinance of a 2007 vintage CDO loan that had been extended and was under forbearance. “The economics were outstanding with a 3.38% fixed five year rate, the loan payoff and a partial return of capital,” said Elmore.