44-Unit Multifamily Refinance – Meza, AZ
- Capital Source: Fannie Mae
- Purpose of Loan: Refinance
- Loan Amount: $2,425,000
- LTV: 55%
- Rate: 3.22%
- Term: 10 Years
- Amortization: Full Term Interest Only Payments
- Prepayment: 9.75 Year Yield Maintenance
- Recourse: Non-Recourse
Tower Capital arranged $2,425,000 for the refinance of a 44-unit multifamily property in Mesa, AZ. The borrower has owned this two-story walk up since 2017 and improved the property’s exterior and interior over the past three years. The borrower wanted to take advantage of market conditions by obtaining a new low interest, long-term, fixed rate and is a long-term holder.
The small balance Fannie Mae loan provided the borrower with a 10-year fixed term at 3.22%. The borrower’s number one priority was locking in a long term, fixed rate, with interest only. At 55% LTV, we were able to secure a full-term interest only loan.
The COVID-19 global pandemic has caused challenges that Tower and their partners have adapted to soundly. The combination of the borrower being a seasoned real estate professional, a repeat client, and utilizing our most reliable lending relationship, made the transaction very seamless. Spreads have increased twenty basis points since July 1st, however compared to this time last year, they are still down fifty basis points. With spreads widening we moved fast to secure the best rate the market was offering.
About Tower Capital:
Tower Capital was founded to enable owners of commercial real estate to achieve their investment goals with the least amount of time, energy, and cost, while creating surety of execution and peace of mind.
Established in 2015 and headquartered in Phoenix, Arizona, Tower Capital provides customized structured financing to investors throughout the United States. We specialize in debt and equity placement ranging from $2 Million to $300 Million and have financed over $1.2 Billion for our clients since inception. We focus on independent financial advising with an entrepreneurial mindset, market vigilance and personalized attention to every client.