BETHESDA, MD – Berkeley Point Capital LLC recently closed a $31,599,000 loan for the acquisition of Sommerset Gardens, a 420-unit garden-style, class-B apartment community located in Aurora, CO. The financing was structured under the Fannie Mae Delegated and Underwriting and Servicing (DUS™) program as a twelve-year term with five years of interest-only at a fixed rate of 4.27%.
Built in two phases in 1981 and 1983, the property recently underwent minor renovations by the previous owner. The sponsor, Kennedy Wilson, plans to spend approximately $5 million to further upgrade the property. The planned renovations include interior unit upgrades, exterior painting and siding repairs, landscaping and exterior lighting. Kennedy Wilson also plans to renovate the leasing center, upgrade the fitness center, convert the property to controlled access, add BBQ areas and a tot lot. Sommerset Gardens is both job- and transportation-centric, and is ideally positioned for a value-add program. Just east of I-225 with excellent visibility on Mississippi Ave., the property is adjacent to a regional shopping center and between two future light-rail stops along the I-225.
“Kennedy Wilson’s overall objective is to rebrand and remarket the property with a high quality rehab and capitalize on its proximity to the light-rail that is currently under construction nearby.” stated Nick Bridges, Acquisitions Manager at Kennedy Wilson. “Berkeley Point provided a long-term fixed rate loan with a significant interest-only period that will accommodate this planned renovation program.”
“We are pleased to once again partner with Kennedy Wilson to help them accomplish their financing and timing objectives,” said Mitch Clarfield, Senior Managing Director of Berkeley Point Capital. “We were able to quickly underwrite this transaction and get in a position to rate lock before changes to the credit markets took effect. We were able to leverage our relationship with Fannie Mae to execute the best financing solution under a tight timeframe.”
about berkeley point capital
Berkeley Point Capital LLC is one of the nation’s leading providers of multifamily capital solutions. The firm boasts a 25+ year history and a servicing portfolio of over $28 billion representing in excess of 2,100 loans in 45 states and the District of Columbia. This extensive and diverse national platform allows us to provide our clients with superior execution in every market in the country.
Berkeley Point is owned by entities affiliated with Ranieri Real Estate Partners LP and WL Ross & Co. LLC. As part of its multifamily expertise, the firm offers the full complement of Fannie Mae, Freddie Mac, FHA, and Life Company products as well as a proprietary bridge program.
Focusing on a three-pronged strategy of exceptional people, unique multifamily capital solutions and superior technology, our team of nearly 200 people located in ten offices across the nation provides our customers a competitive advantage through speed, creativity, ease of interface and certainty of execution.
For more information on Berkeley Point Capital, please visit our website at www.berkpoint.com.