Brett Hood, senior vice president of NorthMarq’s Chicago-based regional office, secured $35.384 million in combined agency debt facilitating the acquisition of seven independent multifamily properties all located within the city limits of Sioux Falls, South Dakota.
The collateral encompasses 525 units across seven quality workforce communities with in-place average rent structures deemed affordable qualifying as mission-driven under the agency’s affordability directive.
The Freddie Mac-provided financing allowed for seven separate loans ranging from $1.935 million to $9.3 million representing about 77 percent of the sponsor’s aggregate capital stack.
The 15-year loan terms were structured with seven years of interest-only followed by 30 years of amortization. The borrower utilized Freddie Mac’s index lock feature eliminating interest rate risk early in the due diligence process.