2013, June 26 – Greystone Provides $30 Million in HUD Financing for Multifamily Properties

Greystone announced today that it has originated in excess of $30 million of FHA insured loans for two multifamily properties located in Texas and Tennessee. Donny Rosenberg, a managing director in Greystone’s multifamily lending group, led the efforts to close the loans.

Greystone’s extensive experience with the U.S. Department of Housing and Urban Development ensured that both properties received loans at ideal terms and rates.

 

The first property, Hickory Point at Brentwood, received $22.5 million of FHA-insured loan proceeds pursuant to Section 223(a)(7) of the National Housing Act. 223(a)(7) financing is available only to loans that are currently HUD insured, allowing borrowers to lower their debt service costs with minimal out of pocket cost. The 298-unit multifamily complex is located in Nashville, Tennessee.

 

Greystone provided another $7.9 million loan through HUD’s Section 223(f) program to the borrower of Hunters Crossing, a 192-unit apartment community located in Longview, Texas. With an impending maturity and a much higher rate, the borrower was able to pay off the entire existing mortgage and lower the debt service costs substantially over the new term.

 

Robert Peek, Chief Executive Officer at Amesbury Companies, the borrower, commented: “the Greystone team could not have been more insightful, responsive and sensitive to our needs. We would highly recommend them to anyone looking for exceptional service and unparalleled persistence in their agency lending relationships.”

 

“Both the borrower and the Fort Worth HUD office pulled together to close this transaction on a tight time frame, avoiding additional costs or losses to the borrower or to the existing lender,” said Rosenberg. Betsy Vartanian, Head of Greystone’s FHA business added: “Providing good capital to good borrowers, secured by good properties in a difficult credit environment is a fulfillment of one of the primary missions of HUD and Greystone, and we’re happy to have done our part.”

 

Greystone’s multifamily and healthcare mortgage lending group consists of over 200 individuals located in offices throughout the United States.

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