Berkadia provided $46.5 million in financing for The Quarters at Iowa City, a student housing community in Iowa City, Iowa.
Senior Managing Director Peter Benedetto and Associate Director Aaron Moll of Berkadia’s Detroit office secured the bridge financing through Voya Investment Management on behalf The Tailwind Group, based in Mankato, Minnesota. The loan closed in December of 2017.
The non-recourse bridge loan provided the sponsor with a 410 basis point spread over one-month LIBOR, a two-year interest-only term with extension options, a 75 percent loan-to-value ratio and a competitive 75 basis points origination fee with a complete waiver of the exit fee.
The Quarters at Iowa City is located at 2401 Highway 6 E, close to the University of Iowa. The 892-bed property is a Class-A, student housing community with a resort style pool and spa, outdoor sand volleyball courts, free parking, fitness center, game lounge, indoor and outdoor basketball courts, racquetball court, tanning beds, golf simulator room, outdoor grill area and private shuttle to campus.
The property offers studio, two- and three-bedroom floorplans featuring fully renovated units, which include private bathrooms, black-finish kitchen appliances, dishwashers and in-unit washer and dryer sets. Select units have private balconies and kitchen islands.
