Aries Capital announced that Eric Jones, vice president, from the firm’s Chicago office, has completed a $2,432,000 loan for the apartment building at 854 W. Armitage in Chicago’s Lincoln Park neighborhood. Fannie Mae was the investor in the transaction.
The North Side building features five newly remodeled apartment units and ground level retail leased to a well-known local business. The ten year, non-recourse loan arranged by Aries Capital features a 4.23% rate and a 30-year amortization. The fixed-rate loan represented 115% of the total cost basis.
“As several recent studies have indicated, the balance sheets of the local and regional banks are above pre-crisis levels, which means they are beginning to be more selective when providing loans,” said Jones. “This, however, is an area in which Aries Capital excels – providing options to borrowers who have either reached their lending limit with the bank, or when the bank has reached its capacity for loans. By arranging a 10-year, non-recourse, fixed-rate loan, our borrower not only reduced the liability from their personal balance sheet, but also knows their loan rate for the next 10 years.”
The borrowers Douglas Crocker II and partners are well-versed in Chicago’s multifamily market. Crocker is the former president/CEO and vice chairman of Equity Residential which owns and operates over 225,000 apartment units throughout the country. This is the fourth loan Aries Capital has completed for Crocker and his partners in Chicago with two additional loans underway.
“Despite having only owned this property for over a year, Aries Capital was able to secure us a favorable loan by demonstrating our experience and track record, and utilizing their resources within the industry,” said Crocker. “They continue to demonstrate their professionalism and ability to provide loan alternatives to their clients and it’s why we’ll continue to bring them loans to source on our behalf.”
