Goldman Sachs, Atlas Refi Multifamily Portfolio With $330M CMBS Loan 

A Buckingham Companies multifamily fund has secured a $330 million debt package to refinance a portfolio of apartments comprising 2,381 units in five states, Commercial Observer has learned.

Goldman Sachs and Atlas SP Partners originated the floating-rate commercial mortgage-backed securities (CMBS) loan for seven multifamily assets in Indiana, Ohio, Kentucky, Tennessee and Georgia. The properties were acquired or developed through Buckingham Multifamily Fund I (BMF1), which Indianapolis-based Buckingham Companies debuted in 2018. 

CBRE arranged the single-asset, single-borrower CMBS loan with a debt and structured finance team consisting of Jason Gaccione, Shawn Rosenthal, Lauren Weinstein, Jake Salkovitz and Justin Helbling in collaboration with the firm’s large loan advisory team of Tom Traynor, Tom Rugg and Henry Fenmore.

Gaccione, executive vice president at CBRE, said the deal sparked plenty of lender interest from the CMBS market, life insurance companies and debt funds. 

“We knew we wanted to do a floater with really strong flexibility to give BMF1 the opportunity to optimize their business plan and exit assets as they saw fit or refinance them out in the future,” Gaccione told CO. “Ultimately there was more efficiency from a pricing perspective in a CMBS deal.”

Gaccione noted the portfolio has “terrific” multifamily fundamentals with occupancy levels at around 95 percent at all the assets in areas with strong rent growth. 

The portfolio features properties built between 1982 and 2021. BMF1 has invested $45 million in capital improvements across the portfolio including the renovation of 1,500 apartments, according to CBRE. 

The portfolio features Whetstone Flats I & II in Nashville; Champion Farms Apartments in Louisville, Ky.; Woodbridge Apartments in Louisville; Fieldstone at Glenwood Crossing in Cincinnati; Rosemont Vinings Ridge in Atlanta; and The Village on Spring Mill in Carmel, Ind. 

Officials at Buckingham Companies and Atlas SP Partners did not immediately return requests for comment. Goldman Sachs declined to comment. 

Andrew Coen can be reached at acoen@commercialobserver.com