Northwind Supplies $77M Condo Inventory Loan for Austin Project

An Austin condominium tower has landed a $77.2 million condo inventory loan from Northwind Group, Commercial Observer has learned. 

Vesper, a recently completed 284-unit property was developed by a joint venture between Austin-based Pearlstone Partners and ATCO, a New York real estate investment and ownership platform led by the Hemmerdinger family. The loan is secured by 167 unsold condo units of the 41-story property. 

“Loans backed by high-quality condominiums are our core focus, and we have strong confidence in Vesper given that 40 percent of its units have already been sold and it stands as the only new inventory available in the Rainey Street submarket,” Ran Eliasaf, founder and managing partner of Northwind Group, said in a statement. “Austin’s ongoing growth and the rising demand for premium residences, driven by an influx of relocating professionals, further reinforce our confidence.”

The transaction marks Northwind’s second financing in Texas this year on the heels of a $111 million condo inventory loan The Hawthorne property in Houston.

Located at 84 East Avenue in Downtown Austin’s Rainey Street District, Vesper has amenities that include coworking spaces, a fitness center and a swimming pool. 

“Northwind’s financing is further validation of the quality of Vesper’s resident experience as well as its prime location in one of Austin’s most vibrant and desirable neighborhoods,” Ryan Huber, managing director of investments at Atco, said in a statement. 

Bill Knauss, president of Pearlstone Partners, said in a statement that the loan “provides us with the flexibility to execute our business strategy.”

Andrew Coen can be reached at acoen@commercialobserver.com