Greystone Provides $32.2 Million in FHA-Insured Construction Financing for Market-Rate Multifamily Property with Green Certification in Texas
April 30, 2019
Category: FHA, Multifamily
Greystone, a leading commercial real estate lending, investment, and advisory company, announced that it has provided a $32,226,600 FHA-insured loan to finance the construction of The Vic at Southwinds Apartment Homes, a new market-rate 265-unit green-certified project in Baytown, Texas. The FHA construction-to-perm loan was originated by Jason Stein of Greystone on behalf of Sanford P. Aron of Hunington Properties, Inc.
The FHA-insured financing for the property located at 1900 Kilgore Parkway is a ground-up construction loan that converts to a 40-year permanent, fixed-rate, non-recourse fully amortizing loan after completion and stabilization. With this green-certified and energy efficient project, the borrower also qualifies for reduced Mortgage Insurance Premium (MIP).
The market-rate property’s eight, three-story garden-style buildings will offer 1-, 2- and 3-bedroom units with high-end finishes, in-unit washer/dryers and private yards. Residents will be able to enjoy amenities such as a fitness center and indoor playground, clubhouse and pool, conference room and business center, beer garden, two dog parks, attached garages, and parking for boats and recreational vehicles. The property’s location near several interstate highways will offer convenient access to neighborhood retail and employment centers, as well as Baytown’s central business district and the southeastern suburbs of Houston. The first residents are expected to move in during the Summer of 2020.
“I couldn’t be more excited to be part of this new construction project outside of Houston, which will meet the high demand for new rental stock in this growing submarket,” said Mr. Stein.
“Our Greystone team’s expertise and deep background in FHA finance resulted in bringing this transaction to a quick close,” said Mr. Aron. “We needed a trusted, knowledgeable partner to be our guide throughout the FHA financing process, and we found one in Greystone.”