Greystone Provides $123M in Financing for Two California Multifamily Properties
Watermark Properties has secured a total of $123 million in U.S. Department of Housing and Urban Development-insured loans to refinance a 560-unit multifamily portfolio in Riverside, Calif., Commercial Observer can first report.
The transaction was originated by Dan Sacks and Ilan Bassali of Greystone, according to a release from the brokerage.
“These two Class A properties are a shining example of quality sponsorship and well-run management, and we are thrilled to provide a long-term financing solution in today’s increasing rate environment,” Sacks said in a statement.
“We are excited to be working on more transactions in the Western region, where the multifamily market is showing strong signs of growth,” Bassali added.
The two HUD Section 223(f) loans finance Colonnade at Sycamore Highlands, located at 5880 Fair Isle Dr, comprising 288 units, and Castlerock at Sycamore Highlands, located at 5700 Lochmoor Dr, comprising 272 units, with long-term, fixed-rate debt. The $63.4 million and $59.6 million loans, respectively, both carry 35-year terms, representing 77 percent loan-to-value.
Constructed in 2000, the properties were acquired by the current owner in 2007 and since then, Watermark has invested a combined $2.5 million-plus in the assets. Together, they total 31 three-story buildings spanning just over 30 acres, with amenities including fitness centers, swimming pools, clubhouses, bocce courts, outdoor fireplaces and BBQ areas, and business centers. Situated near University of California, Riverside, both properties serve as home bases for students and also offer furnished units.
Watermark Properties did not immediately respond to a request for comment.
Emily Fu can be reached at email@example.com.