A partnership of Auerbach Funds and Sinatra & Company has landed a $28 million bridge loan on a multifamily complex in a Chicago suburb, Commercial Observer can exclusively report.
New York City-based Hunt Mortgage Group is the lender behind the financing, according to Eyzenberg & Company, which arranged the debt.
The mortgage rolls over the partnership’s previous acquisition financing on Woodland Ridge Apartments, a 32-acre property with 304 apartments at 3421 Foxboro Drive in Woodridge, Ill. The site’s six buildings, totaling 217,000 square feet, are about 25 miles southwest of downtown Chicago, and a 15-minute drive from a commuter train that serves the city center.
“As a result of ownership’s investment in renovations…and improved operating results, Eyzenberg & Company was able to secure an immediate partial cash-out, as well as a future funding earn-out structure,” David Eyzenberg, Eyzenberg & Company’s president, said in a statement.
After the prior acquisition loan is paid off, proceeds from the new financing will be used to improve Woodland Ridge’s apartment units as well as its clubhouse building, which will receive upgrades to its roof, patios, windows and air conditioning system.
“This was a nuanced and complicated project that required a great deal of expertise and teamwork,” Peter Auerbach, Auerbach Funds’ CEO, said in prepared remarks.
Hunt has been on a tear of originating high-volume, small balance multifamily financings of late. The Woodland Ridge deal marks at least the company’s fifth financing in the last thirty days, most topping out at under $10 million.
A representative from Sinatra & Company did not immediately respond to an inquiry.