NORCROSS, GA – Electra Capital, a boutique lender specializing in flexible, short-term multifamily financing solutions, has closed on a preferred equity investment for the refinancing of The Carter @ 4250, a 300-unit apartment community located in Norcross, Georgia. One Real Estate Investment (OREI), a real estate investment and asset management firm based in Miami, owns the property.
Electra’s $3.25 million, 36-month preferred equity investment was structured behind a first mortgage through Freddie Mac and allows the sponsor to refinance the property and complete the renovations, including interior renovations to each unit and exterior renovations to the buildings and grounds. Berkadia arranged both the debt and equity for the transaction.
Electra Capital provides bridge loans from $10 million to $150 million, and mezzanine loans and preferred equity in the range of $5 million to $30 million. This is the second time this year that Electra Capital has worked with OREI; in May of this year, Electra provided $4.09 million in preferred equity for OREI’s acquisition of Element at University Park, a 192-unit apartment community in College Station, Texas.
“Electra continues to provide a vital source of capital to the multifamily industry as we enter the second half of 2020 with a lot of uncertainty and volatility in the market,” said Samuel J. Greenblatt, Electra Capital’s CEO. “We were able to structure and close this deal in eleven days thanks to the sponsor’s strength and our track record and experience in the market.”
Jeronimo Hirschfeld, President and CEO of OREI, added, “OREI is pleased to build on our relationship with Electra Capital as an equity partner. The Carter has seen significant appreciation since buying 18 months ago and we were able to capture some of that value for our partners via a refinance / recap of the preferred equity.”
Originally built in 1985, the Carter @ 4250 is situated at 4250 Jimmy Carter Boulevard. Located under ten minutes away from a variety of restaurants, apartment communities, churches, salons, and stores, the community’s one- and two-bedroom units include variety of personal amenities. Community amenities feature a swimming pool, on-site management, a playground, free weights, a BBQ/picnic area, on-site maintenance, a clubhouse, a laundry center, a fitness center, a club discount, a business center, a sports court, and a dog park.