Lending - Fannie Mae - $28.2M
Greystone provided a $28,200,000 Fannie Mae DUS loan for the acquisition of Northpoint Apartments, a dedicated student housing community in Rexburg, Idaho. The loan was originated by Dale Holzer of Greystone’s Newport Beach office.
The 154-unit property, which was completed in 2014, serves the BYU-Idaho student population with 1,024 individual beds. The Fannie Mae DUS loan carries a 10-year fixed rate with 5 years of interest-only.
Catering to a new generation of student renters, Northpoint Apartments is a Class A property with a number of amenities geared toward comfort and convenience, including a private gym, theater, music rooms, and community-sponsored activities such as pizza parties and game nights.
“The borrower’s long track record of student housing ownership enabled him to secure favorable terms against a number of unique challenges, including the smaller enrollment of this BYU-Provo offshoot campus and a shorter history of rent collections,” said Mr. Holzer. “Leveraging a 1031 exchange, this permanent financing will enable the borrower to continue to grow his portfolio.”
“The student housing market of today looks very different than 10 years ago,” said Joseph Stepchuk, Managing Director and head of Greystone’s student housing lending platform. “Community, study areas, fitness centers, and technology access are priorities for students today. Premium properties offer these as well as effortless and accessible experience.”