Spruce Capital Lands $102M Agency Loan for Indianapolis Rental Portfolio
Spruce Capital Partners has landed $102 million in Fannie Mae-backed debt from Newmark Knight Frank Multifamily to fund its purchase of a four-building multifamily portfolio in Indianapolis, Ind., Commercial Observer has learned.
The debt helped facilitate Spruce’s $133 million purchase of the 1,024-unit portfolio from Brooklyn, NY-based Hampshire Properties, sources said. The deal indicates a 77 percent loan-to-value.
NKF’s Ari Schwartzbard, along with Matt Mense and Daniel Sarsfield of the firm’s multifamily capital markets division, worked on behalf of Spruce in originating the debt.
“This is part of a continuing trend of New York-based sponsors looking to acquire multifamily assets outside of the New York metro area,” Schwartzbard said in prepared remarks. “The acquisition of the 1,024-unit portfolio allows for Spruce Capital to scale quickly within the Indianapolis market.”
The four properties are located throughout western Indianapolis. They include Avon Creek Apartments at 291 Great Lakes Circle West in Avon, Ind.; Brownsburg Crossing Apartments at 1122 Windhaven Circle in Brownsburg; Saratoga Crossing Apartments at 4200 Stillwater Boulevard in Plainfield; and Settlers Run Apartments at 3200 Prairie View Trail in Danville.
Of the 1,024 units, there’s a mix of 224 one bedrooms, 512 two bedrooms and 288 three-bedroom residences, according to property information from Spruce’s website.
A representative for Spruce was not able to provide a comment prior to publication.