The property, located at 1101 Burton Dr., is a 108-unit affordable senior housing complex containing one and two-story garden-style buildings. David Lacki of Capri's Walnut Creek office originated the loan, originally funded through Fannie Mae's MBS/DUS Forward Conversion program in 1998.
"Now that the property has stabilized in terms of being completed and occupied, we are converting the loan to a straight 30-year fixed with an interest rate reset at year 18," Lacki tells GlobeSt.com "This deal was actually financed with tax-exempt bonds. The triple A credit rating on the bonds provided by Fannie Mae gives the borrower the lowest possible competitive interest rate available on the market."
The interest rate is fixed at 6.37% and the loan-to-value ratio is 85%. "With this particular deal the occupants are 100% over 55 years of age and earn less than 60% of the area median income," says Lacki. "In the case of this loan, the borrower used the original proceeds to build the apartments and is now converting to a straight 30-year term."
Saratoga Senior Apartments on-site amenities includes a community building that houses a lobby, kitchen, game room, craft room, laundry room, restrooms and management offices. Of the 135 parking spaces 72 are covered, 57 are open and six are handicapped spaces.
Capri Capital was formed in 1992 to act as a real estate advisor to pension funds, government agencies and other institutional investors. Through its subsidiary, Capri Capital Finance LLC, the firm is a major Fannie Mae Delegated and Underwriting Servicing Lender.
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