Principal Life Lends $58M on Multifamily Build Near Arizona State
By Andrew Coen September 23, 2022 9:58 am
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Silver Creek Development has sealed $57.9 million of high-leveraged construction financing to build a multifamily development in Tempe, Ariz. near Arizona State University (ASU), Commercial Observer has learned.
Principal Life Insurance provided the nonrecourse fixed-rate loan at a 90 percent loan-to-cost for Silver Creek’s Blue @ Eastline project, sources told CO. The debt package closed with an interest rate in the low single digits.
George Smith Partners’ Antonio Hachem arranged the transaction.
“We’re thrilled to advance the vision of our sponsor as this project is well positioned to deliver quality housing in an area undergoing transformative growth,” Hachem said in a statement.
Located at 2000 East Apache Boulevard less than two miles from the ASU campus, the apartment development will consist of 187 units featuring one-, two- and three-bedroom options. The property, which is 12 miles from Phoenix, will have amenities that include a swimming pool, spa, sun-bathing deck, fire pit, fitness center and dog park.
Jim Cooper, director of multifamily acquisitions at Silver Creek Development, credited George Smith Partners with displaying a “high level of detail and excellent communication” during the closing process.
Officials at Principal Life Insurance did not immediately return a request for comment.
Andrew Coen can be reached at acoen@commercialobserver.com.
