Berkadia, McKinley Get Michigan Refinance

ANN ARBOR, MI—The historically low interest rates have caused the pace of HUD financings to accelerate in Michigan, and two multifamily properties run by McKinley Inc., are just the latest to lock-in those interest rates for years to come. McKinley, and the Detroit office of Berkadia Commercial Mortgage, led by Ernie Katai, the senior vice president and regional manager, just closed an $18 million 223 (f) HUD financing with an all-in rate of 3.5% for Evergreen Pointe Apts., a 477-unit community in Pittsfield Township, and a $11.2 million 223 (f) with the same rate for Woods of Roundtree Apts., a 228-unit community in Ypsilanti Township.

McKinley uses Berkadia as their preferred lender for HUD executions and the two have recently originated and closed over $200 million in HUD financings for McKinley communities across the Midwest and in Florida. Headquartered in Ann Arbor, home of the University of Michigan, McKinley has a big presence in other major university towns like Champaign, Illinois and Gainesville, Florida, as well as many small cities, such as Norfolk, Virginia, that also depend on large but stable employers. McKinley currently owns and manages more than 34,000 apartments and roughly 21-million-square-feet of commercial space in 25 states.