Build-To-Rent Townhome Community – Phoenix, AZ

  • Capital Source: Debt Fund
  • Purpose of Loan: Construction
  • Loan Amount: $14,225,000
  • LTC: 75%
  • Recourse: Non-Recourse

Transaction Details:

Tower Capital successfully arranged non-recourse construction financing for a build-to-rent Townhome community totaling $14,225,000. The subject property consists of 96 contemporary styled townhomes in a gated community with lifestyle amenities such as a large resort style pool, SOHO house style great room, multiple flex office spaces, a package room, a pickle ball court and a chef’s kitchen with culinary events. The unit mix will consist of one, two and three bedroom townhomes, some with attached garages, which presents a unique and competitive alternative to current apartment rental housing in the area. The property is in close proximity to the Light Rail, Sprouts, Medical Offices including Blue Cross Blue Shield and NHW Community Health.

One of the main challenges on this transaction was that although the sponsor had a great track record in other real estate transactions and the restaurant industry, this would be his first ground up development. With its extensive lending relationships, knowledge and experience in the build-to-rent sector, Tower Capital was able to provide multiple term sheets to the sponsor within weeks of being hired.

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.