Source: Daymark Realty Advisors / #Multifamily #Loans
SANTA ANA, CA - When Daymark Realty Advisors was purchased in a partnership between Sovereign Capital Management Group and Infinity Urban Century in August, the former Grubb & Ellis-owned company was facing an imminent loan maturity on a 273-unit garden-style multifamily property in the Dallas-Fort Worth suburb of Keller, Texas known as Enclave on Golden Triangle.
Daymark’s structured finance division and new executive management team was successful in securing an attractive bridge loan for the property that allowed the owners to pay off the existing debt in full. Daymark sourced and closed the new loan on behalf of the owners in less than 60 days, and provided a refinance solution for the existing loan that had already matured. The new loan of $21,400,000, which carries a coupon rate of 6.0%, was originated by Berkadia Commercial Mortgage and closed on October 17, 2011. The initial loan term is six months and the Borrower has one option to extend the loan by an additional six months.
“Daymark’s team was able to leverage our lending relationships to quickly and efficiently facilitate a refinance for the Enclave property,” says Todd Mikles, CEO. “Today’s lending climate makes it extremely challenging to obtain financing for properties - particularly those that are owned by Tenant In Common (TIC) investors. In conjunction with the refinance, Daymark successfully restructured the ownership group by merging 31 TIC investor entities into a single LLC structure.” The new single-entity ownership structure will allow the property to be operated more efficiently and will make permanent financing more readily available.
Mikles adds, “The short term loan with Berkadia will serve as excellent bridge financing while a long term debt solution is being arranged. We are already in the process of lining up attractive 35 year permanent financing, which we expect to close on within the next few months.”
Daymark Realty Advisors, Inc. is one of the country’s leading providers of strategic asset management and structured finance services to private and institutional owners of commercial real estate. Daymark provides a fully integrated platform of services that focus on maximizing property value and performance, and offers proven expertise in the repositioning of distressed assets, debt restructuring and property recapitalizations. From six offices throughout the country, Daymark manages a nationwide portfolio of commercial real estate properties totaling approximately 33.3 million square feet, including more than 8,700 multifamily units, valued at $4.9 billion based on purchase price.