Beech Street Capital, LLC announced today that it has provided a $9.25 million Fannie Mae Conventional loan to acquire Quail Run Apartments. The 166-unit property is located in Zionsville, Indiana, part of the Indianapolis MSA.
The transaction was originated by Meridian Capital Group, LLC and was financed by Beech Street Capital as part of its correspondent relationship with Meridian. Beech Street is a Fannie Mae DUS lender, a Freddie Mac Program Plus Seller Servicer, and an FHA Multifamily Accelerated Processing (MAP) and LEAN lender.
The sponsor is an established multifamily owner in the Indianapolis market known for acquiring Class A and value-added apartment communities of 150 units or more. This was the first time the group had worked with Beech Street, and it had a number of specific requirements. “By vetting all deal points with Fannie Mae up front, Beech Street was able to move smoothly and quickly through the underwriting process to meet the borrower’s needs and acquisition deadline for closing,” reports Christine Phillips, Beech Street’s underwriter, in a release.
With a mix of garden-style and townhome units, Quail Run attracts a mixed tenant base consisting of young families drawn to the competitive school system and seniors who appreciate the quiet neighborhood.
The fixed-rate loan has a term of ten years with three years interest-only, 9.5 years of yield maintenance, and a 30-year amortization schedule payable on an actual/360 basis. In addition to Phillips, the Beech Street team consisted of closer Nathan Burlingame. Jacob Katz was the Meridian broker.