NEWPORT BEACH, CA – HFF announces it has secured $22.5 million in financing for the William Penn Apartments, a 189-unit, mid-rise apartment building in Los Angeles, California.
HFF worked exclusively on behalf of the borrower, Massie Capital Management, LLC, to place the five-year, floating-rate loan with a debt fund. Loan proceeds were used to return equity to investors and provide future funding to renovate units.
Originally constructed in 1928, the William Penn Apartments is located at 2208 W. 8th Street, one block south of MacArthur Park in Los Angeles’ Koreatown neighborhood. The property consists of newly remodeled studio floor plans within a seven-story, historic building that offers immediate access to downtown. On-site amenities include a newly renovated courtyard with fountain, fire pits and lounge seating; a 24-hour fitness center; resident storage; bike racks; and courtesy patrol service. The property was 94 percent occupied at closing and is currently undergoing unit renovations.
“Massie Capital focuses on identifying mispriced assets and delivering affordable, well-designed space to its tenants,” said Brian Massie, principal of Massie Capital Management. “The William Penn’s pioneering submarket and business plan required a unique lending partner. HFF was able to clear the market quickly and bring a closely held relationship with a lender who understood our vision for the property and provided local, accessible asset management for draw requests.”
The HFF debt placement team representing the borrower was led by director John Marshall and analyst Devon Dykstra.
“Every year market participants note that the bridge loan market is more competitive than ever and 2019 is no different,” Marshall said. “HFF advised our client to select a lender who could provide certainty of execution and the best terms available in the market.”
Holliday GP Corp. (“HFF”) is a real estate broker licensed with the California Department of Real Estate, License Number 01385740.
About Massie Capital Management, LLC: Massie Capital Management, LLC is a premier investment firm with an established track record of generating returns for investors through the strategic repositioning of multifamily communities. Massie Capital Management, LLC currently owns over 2,000 multifamily units and will consider acquiring market rate, mixed-use, affordable and senior housing communities on a nationwide basis. In addition to multifamily assets, Massie Capital Management currently owns – and will invest in – hospitality, industrial and self-storage assets on an opportunistic basis.
About HFF: HFF and its affiliates operate out of 26 offices and are a leading provider of commercial real estate and capital markets services to the global commercial real estate industry. HFF, together with its affiliates, offers clients a fully integrated capital markets platform, including debt placement, investment advisory, equity placement, funds marketing, M&A and corporate advisory, loan sales and loan servicing. Holliday Fenoglio Fowler, L.P. is the approved Freddie Mac Seller/Servicer. HFF, HFF Real Estate Limited, HFF Securities L.P. and HFF Securities Limited are owned by HFF, Inc. (NYSE: HF). For more information, please visit hfflp.com or follow HFF on Twitter @HFF.