Multifamily Acquisitions Loan

  • Capital Source:  CMBS
  • Purpose of Loan: Acquisition
  • Loan Amount:  $5,250,000
  • LTV:  57%
  • Rate: 3.50
  • Term: 10 Year Fixed Rate Loan
  • Amortization:  7 Years Interest Only followed by 30 Years Amortization
  • Recourse: Non-Recourse

Transaction Details:

Tower Capital recently financed the acquisition of a 11-unit multifamily property located in Scottsdale, Arizona. The $5,250,000 loan represents $477,273 per unit, setting a record for Phoenix, AZ.

MZ Scottsdale was constructed in 2019 by award-winning MODUS Development, which is nationally recognized as a premier developer of Net Zero Energy (NZE) and LEED-H buildings. MZ Scottsdale includes 11 luxury rental townhomes, consisting of one, two and three bedroom units. The community is recognized for its eco-friendly, Net Zero Energy design. The community was progressively constructed with a comprehensive design that integrates sustainability, energy efficiency, style, lower operating costs, and technology to create superior resident lifestyle. Each unit is pre-wired for solar connectivity with Control4 home automation throughout. All of the units are designed to meet a Home Energy Rating System (HERS) score of 0 or less.

The 10-year acquisition loan provided the borrower with a ten-year fixed interest rate of 3.50% based upon a 57% loan-to-value. This loan was also non-recourse, and featured interest only payments for the first seven years.  Tower Capital was able to successfully arrange the financing on behalf of the borrower within a critical timeframe as the property had just recently achieved stabilization.

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 $3 Million to $300 Million and have financed over $1.3 Billion for our clients since inception. We focus on independent financial advising with an entrepreneurial mindset, market vigilance and personalized attention to every client.