Walker & Dunlop Structures Financing for Student Housing at The University of Alabama

Walker & Dunlop Structures Financing for Student Housing at The University of Alabama

TUSCALOOSA, AL - Walker & Dunlop announced that it structured Freddie Mac financing for The Cottages at Lake Tamaha. Located in Tuscaloosa, Alabama, the dedicated student housing community is comprised of 294 cottage-style homes ranging in size from two bedrooms to five bedrooms.

Walker & Dunlop Managing Director Will Baker, Vice President William Shell, and Assistant Vice President Doug McDaniel provided the debt, working alongside Tim Bradley of TSB Capital Advisors, who brokered the transaction. Leveraging their broad experience with Freddie Mac loan programs, the Walker & Dunlop team identified the Capital Markets Execution (CME) to lock in an attractive rate and five years of interest-only payments for the seven-year loan term. The debt provides a streamlined refinance solution for the property owner, Cardinal Group Investments, replacing two separate maturing loans that the borrower assumed upon acquiring the property in 2017.

Richard Randall, Vice President at Cardinal Group Investments, commented, "TSB and the W&D team members were excellent to work with and provided exceptional service from start to finish – they listened to our business plan and presented us with a financing option that best aligns with our long-term goals for the property."

"We have a long history with this property, having previously financed it for the original developer, and we were pleased to work on it again with the Cardinal Group," said Mr. Baker. "The property continues to maintain strong occupancy, thanks to its tailored amenity package, a frequent shuttle to campus, the cottage-style buildings, and the comprehensive improvement program recently completed by the owner."

Built in two phases, in 2009 and 2010, The Cottages at Lake Tamaha caters to students of The University of Alabama seeking off-campus housing. The project won Multifamily Executive's award for project of the year in 2010 and offers residents unique cottage-style living quarters as well as a functional private lake. Community amenities include a cyber café, clubhouse, game room, movie theater, tanning beds, outdoor grilling area, and amphitheater. The property also offers ample recreational space, with a swimming pool, fitness center, indoor golf range, putting green, as well as volleyball, basketball, and tennis courts. The property is located just two miles east of the university's campus and is accessible with a shuttle service exclusively for residents of the community.

Source: Walker & Dunlop

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