In challenging economic times, the most sucessful of companies get creative.
Just ask the people at Q10|Triad Capital Advisors of Cincinnati. The company has turned to life insurance companies — rather than Fannie Mae or Freddie Mac — to recently close three multi-family loans.
Triad correspondent lender PPM Finance financed Union Station Apartments in West Chester, Ohio, a Cincinnati submarket, at a loan amount of $17.6 million.
Allstate Investments closed two loans with Triad, Villages of Wildwood Apartments at $19.2 million and Deercross Apartments in Indianapolis for $12 million.
While Fannie Mae and Freddie Mac have historically offered competitive loan terms on multi-family properties, life insurance companies offer competitive terms, too. The process is smoother and less cumbersome with life insurance companies, and borrowers have the ability to lock interest rate early in the process.
According to Susan Branscome, president of Triad Capital Advisors of Cincinnati, Inc., “interest rates are at historically low levels and borrowers are anxious to fix interest rates on loans. Life insurance companies regard multi-family properties as one of the best property types for which to provide debt.”
