JLL arranged a $39.2 million permanent loan from Freddie Mac for the purchase of a senior living home in Santa Fe Springs, Calif., Commercial Observer can first report.
Standard Property Company bought South Fulton Village, a 280-unit property with more than seven acres of land and a variety of amenities, the broker told CO.
By converting some of the units to affordable housing, the sponsor was able to retire more than $37 million in bridge financing into the new, tax exempt permanent loan with the government-sponsored enterprise. The bridge loan had a loan-to-value ratio of 85 percent, according to a representative for JLL.
The new financing features three years of interest-only period and a 35-year amortization schedule at a fixed rate “below 4 percent,” the brokerage said. The loan has a term of 16 years.
C.W. Early, a managing director at JLL, handled the deal.
“The combination of a strong affordable housing market outside of Los Angeles and working with a prominent sponsor helped us secure great terms on the financing,” Early said via email. “We expect affordable housing communities in the L.A. region to continue to attract interest from investors and lenders.”
“We are excited to have created affordable housing for seniors in the L.A. market, since many residents have struggled to afford a quality home as costs have climbed in recent years,” said Jeff Jaeger, co-founder of Standard, in prepared remarks. “The renovations currently underway at the property will help ensure that the property remains in good condition for residents in the years to come.”