$12M Financing Deal Closes for 200-Unit Multifamily Property

VIRGINIA BEACH, VA-A fixed-rate permanent acquisition loan in the amount of $12 million has been put together for the purchase of Ridgewood Club Apartments, a 192-unit multifamily complex. Acting through the Virginia Housing and Development Authority, GMAC Commercial Mortgage Corp. orchestrated the loan for buyer Continental Ridgewood Associates LLC. According to Virginia Beach records, the property’s assessed value for fiscal year 2005 is $10.4 million.

Ridgewood Club is a three-decade-old property that occupies an 11-acre parcel in the Hampton Roads area, within close proximity to the 17-block Town Center of Virginia Beach mixed-use project that is currently in development. “For this transaction, the borrower needed a creative approach to acquire and partially renovate this property,” GMACCM’s Arthur T. Gormley III says. “VHDA provided a loan that featured a 30-year amortization. Additionally, they allowed value to be based on future rents. This permitted the borrower to structure a winning offer to purchase the asset.”