Walker & Dunlop Provides $137M Acquisition Loan for Boston Multifamily Complex
The brokerage also represented the buyer, Carmel Properties, and the seller, Avalon Bay, in the transaction
By Brian Pascus September 27, 2024 4:32 pm
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Carmel Partners has secured $137.3 million in acquisition financing to purchase Luka on the Common, a 398-unit multifamily complex in downtown Boston, from AvalonBay Communities.
Walker & Dunlop originated the loan through its Fannie Mae (FNMA) DUS platform. Fannie Mae structured the five-year, interest-only loan with an early-rate lock, according to the brokerage.
The firm’s investment sales team in Boston, led by Travis D’Amato and Michael Coyne, arranged the sale on behalf of Avalon Bay, while the W&D multifamily finance team, led by Jeff Burns, secured the financing for Carmel Partners.
Burns, who serves as senior managing director of multifamily finance at Walker & Dunlop, said in prepared remarks that greater Boston holds among the strongest multifamily market fundamentals in the nation due to limited supply. He added that an office and life sciences market aided by job growth in the health care industry has also had a positive impact on multifamily.
“The housing scarcity has impacted both rent growth and the for-sale condominium market and has enabled us to refinance successfully alongside the team at Carmel,” he said.
Lee Bloch, partner at Carmel Partners, called Luka on the Common “an exceptional asset and has an enviable location.”
Located at 45 Stuart Street in Downtown Boston — and situated just steps from the famous Boston Garden and Boston Commons public park — Luka on the Common opened in 2015 and stands 30 stories. The building includes a concierge, bike storage, a fitness studio, an entertainment lounge, and on-site parking.
The $137.3 million acquisition was the highest purchase price for an apartment complex in the greater Boston market in 2024, according to Walker & Dunlop.
Brian Pascus can be reached at bpascus@commercialobserver.com
