American Street Capital (ASC) has arranged $13.62 million in permanent debt for a twenty-building multifamily portfolio located in Chicago. The portfolio, consisting of 214 units scattered over 20 buildings, is located on Chicago’s south side in various neighborhoods such as Bronzeville, Kenwood and South Shore.
The sponsor, a Chicago-based REIT, originally acquired the assets distressed and completed substantial capital improvements to lease-up and stabilize the multifamily buildings. The portfolio includes a mix of market and subsidy tenants and was over 95 percent occupied at closing.
Due to programmatical guidelines, the portfolio was separated into three separate loans based on the geography and size of the buildings. Each loan was structured with a 12-year fixed term including 5 years of interest only on 30-year amortization schedule. The loans were placed with a correspondent agency lender. The loans were co-originated by Igor Zhizhin and Alexander F. Rek.
