Greystone Leads $31M Financing for Indiana Apartments Acquisition

Bayshore Properties has landed $31.2 million of acquisition financing to purchase a multifamily asset in northern Indiana, Commercial Observer has learned.

Greystone supplied a $26.2 million five-year, fixed-rate Freddie Mac-backed loan for Bayshore Properties’ $36 million acquisition of Tiberon Trails Apartments in Merrillville, Ind., a suburb about 35 miles southeast of Downtown Chicago.  

Eric Rosenstock, senior managing director at Greystone, originated the debt, which was structured with a 30-year amortization and two years of interest-only payments.

In conjunction with the loan, More Capital, an affiliate of Morgan Properties, provided $4.96 million of preferred equity for the acquisition. Greystone Equity Services arranged the preferred equity portion of the transaction. 

Rosenstock said in a statement the financing will help support Bayshore Properties’ “continued growth in the Midwest.”

Located at 1240 West 52nd Drive, the 374-unit Tiberon Trails consists of a mix of studio, one-bedroom and two-bedroom apartments. Community amenities include a fitness center and playground.

 Nick Kozul, principal at Bayshore Properties, said in a statement that the loan helps enable its “acquisition strategy” as it looks to “scale” its “multifamily portfolio across key markets.”

Officials at More Capital did not immediately return a request for comment.

Andrew Coen can be reached at acoen@commercialobserver.com.