Grand Canal Villa is a 19-unit, “B” class, garden-style multifamily property located at 1110 E Turney Avenue in Phoenix, Arizona. Tower Capital’s client, an experienced, local, multifamily value-add investor, acquired the asset in June 2018 for $1.2 million. The borrower then spent approximately $250,000 on capital improvements which included a complete exterior and interior renovation of the asset.

The low interest, fixed-rate loan provided by Tower Capital was used to replace the borrower’s existing acquisition debt, recoup costs for capital improvements, cover financing costs, and provide cash back for additional investments. The loan offers an initial 5-year fixed rate term at 4.15% and then adjusts to no greater than 4.65% for years 6-10, with a 3-2-1-1-1-1-1-1-1-.05 prepayment structure.