(Read more on the multifamily market and the debt and equity markets.)
CHICAGO-Kensington Advisors, based here, has received more than $63.3 million in refinancing for a four-building, multifamily portfolio with a total of 1,163 units in the Chicago suburbs. NorthMarq Capital Inc., headquartered in Minneapolis, arranged the financing with Freddie Mac as the lender.
The 10-year financing is interest-only with fixed term plus one year floating. The all-in interest rate is 5.89% for the loan, which has a loan to value of 50%, says Sue Blumberg, senior vice president and managing director of NorthMarq's Chicago regional office. Kensington holds the properties for the Michigan State Pension Fund, says Edward Ross, acquisition officer for Kensington.
Skyridge Club has two buildings with 172 units each in Crystal Lake. Kensington received more than $20.5 million in financing for the two buildings. NorthMarq arranged $17.1 million in financing for Arbor Lakes Apartments, a 379-unit building in Arlington Heights, and $25.7 million in financing for Green Trail Apartments, a 440-unit building in Lisle. The portfolio has one, two and three-bedroom units with an average occupancy of 98%, Blumberg says.
The refinancing is the second loan NorthMarq has arranged for the portfolio, Blumberg says. Kensington refinanced five years ago and the loans were maturing. The previous five-year loan had a similar interest rate as the 10-year refinancing, she says. There will likely be upgrades made to the properties but Kensington does not have definitive plans at this point, Ross says. Arbor Lakes was constructed in 1986, Glen Trails and the first phase of Skyridge Club were constructed in 1988 and the second phase of Skyridge Club was completed in 2000, he says.
Want to continue reading?
Become a Free ALM Digital Reader.
Once you are an ALM Digital Member, you’ll receive:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
*May exclude premium content© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
