Mack Provides $263M in Construction Financing for California Apartments
TA Partners has landed a $262.5 million debt package to complete two planned multifamily projects in Southern California’s Orange County, Commercial Observer can first report.
Mack Real Estate Credit Strategies supplied the five-year, full-term interest-only construction loans for Milani Apartments and Pistoia Apartments in Irvine, Calif., which are both currently under development.
Meridian Capital Group arranged the transaction for the 658-unit portfolio with a New York City-based team led by Drew Anderman, Alan Blank and Naphtali Marrus.
“This recapitalization is reflective of this expertise as any mid-construction takeout requires a deep understanding of the development plan, budget and timeline in order to bring a new lender into a project with so many moving parts,” Anderman said in a statement. “In this case, we did our diligence upfront and went to the market confidently to source value-add financing for these two market-leading developments on behalf of top-tier sponsorship.”
Anderman added that the financing also helped relieve the developer from contributing additional equity to the projects and provided “adequate time” to complete and lease out the buildings before taking on permanent financing.
The 287-unit Milani Apartments, located at 18831 Von Karman Avenue, will feature amenities that include fitness center, pool, spa lounges, playground, barbecue areas and multipurpose room. The 371-unit Pistoia Apartments at 17422 Derian Avenue will offer three courtyards, pool, spa lounges, playground, barbecue areas and a multi-purpose room.
Officials for Mack Real Estate Credit Strategies and TA Partners did not immediately return requests for comment.
Andrew Coen can be reached at email@example.com.