Sonnenblick-Eichner Co. announced that it has arranged a $36 million first mortgage interim loan and $2 million in mezzanine financing for the University City Village Apartments. This 542-unit community is among the most prestigious seniors' apartment projects in the San Diego market given the property's location within the "Golden Triangle" of La Jolla.
The 75 acre project provides for a low density master-planned single-family subdivision. Amenities at the property include a 9-hole, par-three golf course, pool and recreational center.
University City Village Apartments has received entitlements to increase its density from 542 to 1,109 units of multi-family apartments, plus an 80-unit assisted living facility.
"This interim financing allowed our client to realize additional equity from the project while lowering their total debt service obligation due to an attractive interest rate environment," says David Sonnenblick, principal of Sonnenblick-Eichner Co.
The first mortgage financing was provided by Wachovia Securities. The mezzanine mortgage financing was provided by a Southern California-based trust company.
"Due to the low interest rate first, this was a perfect opportunity for the borrower to leverage up their position with a tranche of mezzanine financing," added Patrick Brown, executive director of Sonnenblick-Eichner Company.
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