Berkeley Point Capital Provides $9.3M HUD Refinancing in Tacoma, WA
October 11, 2017
Bethesda, MD – Berkeley Point Capital recently completed a $9.3 million FHA 232/223(f) program refinancing for Spring Ridge Assisted Living & Memory Care, a 63-unit housing complex in Tacoma, Washington.
Tom White led the transaction out of Berkeley Point’s Bethesda office. The sponsor’s primary goal was replacing the existing debt, which consisted of a first trust deed, a mezzanine note and preferred Member Notes (including deferred interest), all of which were originated in conjunction with the acquisition, renovation and an addition of a new wing for the property, with long-term, lower cost debt. A HUD refinancing was the best execution.
Since HUD, by regulation, does not offer “cash-out” supplemental financing under the 232/223(f) program, it was important to maximize loan proceeds and payoff the Member Notes. BPC was successful in that HUD approved the Member Notes (including deferred interest) as eligible debt under the LEAN program requirements. The request was complicated by the lack of three years of stabilized operating history as the property had gone through a renovation, addition and repositioning. Berkeley Point, working with HUD, was able to provide a full leverage (80% LTV) loan amount that paid off all of these outstanding liabilities with a long term mortgage at a 3.45% interest rate.
Spring Ridge Assisted Living & Memory Care, which accepts Medicaid, offers affordable assisted living and memory care housing in a tranquil community setting conveniently located near Tacoma, Lakewood, Midland and Puyallup. The location boasts incredible Mount Rainier views, as well as quick freeway access. At Spring Ridge, the goal is to support basic daily living activities
for further information contact:
origination: Tom White, Director
301.347.4851 | email@example.com
business: Corey Debnam Cooper, Managing Director
617.722.5057 | Corey.Debnam-Cooper@berkpoint.com
media: Stacey Link, Marketing
617.722.5015 | firstname.lastname@example.org
about berkeley point capital
Berkeley Point Capital LLC is one of the nation’s leading providers of multifamily capital solutions. The Firm boasts a 30 year history and a servicing portfolio of $58.2 billion representing in excess of 3,300 loans in 49 states. A top five Fannie Mae and Freddie Mac Lender, Berkeley Point offers a full complement of GSE, FHA, Life Company and Conduit products.