The Park on 57th Avenue – Glendale, AZ
- Loan Amount: $10,750,000
- Purpose: Cash-out Refinance
- Capital Source: CMBS
- LTV: 75%
- Term: 10 Years
- Rate: 3.79%
- Amortization: 30 Years
- Interest Only: 3 Years
- Prepay: Defeasance
The Park on 57th Avenue is a 128-unit garden-style apartment complex located in Glendale, Arizona. The property was built in 1973 and has since been renovated by the current ownership. It features a basketball court, laundry facilities, covered parking, a rental office, dishwashers in unit, and a picnic area with outdoor grills on a 7.9 acre site with 32 buildings. All apartments include individual HVAC and water heaters.
The borrower purchased the property in October 2015 for $5,700,000 ($44,531 / unit) and has since completed approximately $500,000 in capital improvements which includes a major exterior facelift and rebrand, along with replacement of appliances, flooring and paint in many units.
A recent pullback in production from both Fannie Mae and Freddie Mac has forced borrowers to seek alternative sources of high leverage, non-recourse, permanent financing for multifamily properties. One of Tower Capital’s capital partners is currently offering a “Private Label” conduit product where they are both the originator, servicer, and B-piece buyer, offering a high level of execution certainty. The 10-year fixed rate loan provides a competitive 3.79% coupon and 3 years of interest only payments. The $10,750,000 loan provided significant cash out to the borrower.
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 $100 Million and have financed over $700 Million for our clients since inception. We focus on independent financial advising with an entrepreneurial mindset, market vigilance and personalized attention to every client.