PHOENIX—CBRE's Capital Markets group announces that it has secured financing on behalf of Real Estate Capital Partners for the financing of Crestone at Shadow Mountain Apartments. Brian Eisendrath with CBRE's debt and structured finance team arranged a 5-year, full term interest only fixed rate loan of $16,811,000 (60% LTC), which was locked in at an interest rate of 3.30% through Freddie Mac. The 248-unit asset was acquired for $27.2 million ($109,677/unit) from P.B. Bell, who will remain in-place as the property's management company, and was represented by Tyler Anderson, Sean Cunningham, Asher Gunter and Matt Pesch with CBRE in Phoenix.
RECP's Current Income Fund provided the equity for Crestone, which will provide investors a strong current rate of return in a high quality, wel- located project. RECP is a U.S. real estate investment advisor, founded in 1989, whose goal is to create superior risk adjusted returns by investing in U.S. real estate. Investments have consisted of existing and to-be-built apartment, office, industrial, retail and mixed-use properties.
“With the low cost of capital and the full term interest only loan, this execution will allow RECP to execute its business plan,” says Eisendrath.
“Brian and his team were able to secure attractive financing at a 3.30% rate with full term interest only. The execution supports our business plan to maximize cash on cash returns,” says Stephen Henry, vice president, investment management of RECP.
Crestone at Shadow Mountain is a well-established community situated in the heart of North Phoenix. This community was built in 1992 and features 248 units, averaging 876 square feet, in 19 two-story buildings. The property offers proximity to the SR 51 connecting residents to the Loop 101 through North Scottsdale as well as to all the amenities in Downtown Phoenix. Select units offer nine-foot ceilings, full size washers and dryers, and wood burning fireplaces.
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.
