LOS ANGELES, CA - Prudential Mortgage Capital Company, through its Federal Housing Administration lending business Prudential Huntoon Paige, closed a $77.2 million loan on behalf of the FHA for Orange County-based real estate developer Hutton Companies’ College Park Apartments. Prudential Mortgage Capital Company is the Newark, N.J.-based commercial mortgage lending business of Prudential Financial, Inc. (NYSE:PRU).
The transaction, which is the second multifamily loan of more than $70 million Prudential Huntoon Paige closed in 2011, refinances College Park Apartments, a new 448-unit market-rate apartment community in Upland, California. Adjacent to The Claremont Colleges, the community consists of 22 two- and three-story, walk-up apartment buildings along with a resident clubhouse that contains a movie theater, game room, business center, kitchen, and visiting area. The common area features two pools, two spas, a fitness center, playground, barbecue areas, courtyards and a leasing office with an attached recreation room.
John Jacobs of Prudential Mortgage Capital’s Los Angeles office and Martin Herz of Prudential Huntoon Paige’s Colorado office worked together to originate this transaction. The team also worked closely with the Los Angeles field office of the U.S. Office of Housing and Urban Development (HUD).
“Prudential is proud to have been able to work with senior management at the Hutton Companies to provide the financing they needed. Hutton Companies demonstrated its operational expertise in the development and stabilization of this high-caliber asset during challenging economic times,” Jacobs said.
Herz continued: “Working with the Department of Housing and Urban Development Los Angeles Field Office and its FHA lending program gives us an important tool to provide financing options to our borrowers. College Park Apartments is a great example of the public and private sector partnering to provide needed capital to the commercial real estate market and ultimately providing more quality, affordable housing for California residents.”
“We are pleased to have Prudential as a financial partner on this community. Their ability to execute was an important part of the overall success of College Park Master Plan, which we believe delivers the best resident experience in the greater Claremont area,” said Scott Felix, vice president of Hutton Development Company.
Hutton Companies is one of Southern California's leading real estate developers. Based in Orange County, Calif., since 1977, and active in Los Angeles, Riverside, and San Bernardino counties, Hutton develops state-of-the-art, mixed-use, government, apartment communities, office, retail and light industrial properties. Hutton Companies and its affiliates have owned, developed and managed a portfolio of more than 3.8 million square feet of commercial real estate and 2,400 units of multi-family residential in Southern California. Hutton currently has an additional 800 units of fully entitled luxury apartment units in Southern California.
Prudential Mortgage Capital Company is a national full-service, commercial and multifamily mortgage finance business with $68 billion in assets under management and administration as of June 30, 2011. Leveraging a 135-year history of real estate finance, the company offers one of the most comprehensive lines of real estate finance products and originates loans for Fannie Mae DUS®, Freddie Mac Program Plus® and specialized affordable housing programs; FHA; Prudential’s general account and proprietary balance sheet program; and other institutional investors. The company maintains a loan servicing portfolio of approximately $66.3 billion, as of June 30, 2011.
Prudential Financial, Inc. (NYSE: PRU), a financial services leader with approximately $883 billion of assets under management as of June 30, 2011, has operations in the United States, Asia, Europe, and Latin America. Prudential’s diverse and talented employees are committed to helping individual and institutional customers grow and protect their wealth through a variety of products and services, including life insurance, annuities, retirement-related services, mutual funds, investment management, and real estate services. In the U.S., Prudential’s iconic Rock symbol has stood for strength, stability, expertise and innovation for more than a century.