Real Estate Capital

The transaction includes a $17 million ($212,500/unit) non-recourse, first mortgage loan secured by an 80-unit, garden-style apartment complex known as Hamilton Gardens, located in Stamford, Connecticut. The property was built in 1960 and consists of four, two-story residential buildings on 4.49 acres of land. The proposed loan will be used for acquisition of the property. The loan is structured with a five-year term, and, subsequent to a three-year, interest-only period, amortizes on a 30-year schedule.

The transaction includes a $5,017,000 ($70/square foot) non-recourse, first mortgage loan secured by a 95,319 square foot (71,658 NRA), 575-unit self-storage facility known as Mini U Storage - Richmond, located in Sugar Land, Texas. Developed in 2009, Mini U Storage - Richmond is located on a 3.62-acre site and consists of five single-story self-storage buildings, one two-story self-storage building, and one building that contains the leasing office and on-site managers residence. Mini U Storage - Richmond has 161 non-climate-controlled exterior units, and 414 climate-controlled units ranging in size from 5x5 to 26x40. The facility has no RV/parking spaces. The proposed loan will be used to refinance the existing debt on the property. The loan is structured with a five-year interest-only term.

The transaction includes a $10.764 million ($64,071/unit) non-recourse, first mortgage loan secured by a 168-unit, garden-style apartment complex known as Boulder Ridge, located in Watford City, North Dakota. Built in 2011, the property consists of four three-story apartment buildings, situated on a 23.883-acre site. The proposed loan was used to refinance the existing debt on the property. The loan is structured with a 10-year term, and, subsequent to a five-year, interest-only period, amortizes on a 30-year schedule.

This loan was part of a three-pack of deals, all located in Williston and Watford City, North Dakota, that was brought to Key by the team at Bernard Financial Group.

The transaction includes a $6,500,000 ($102/square foot) non-recourse, first mortgage loan secured by an 82,120 square foot (63,610 NRA), 716-unit self-storage facility known as Mini U Storage – Fairfax Station, located in Fairfax Station, Virginia. Developed in 1986, Mini U Storage - Fairfax Station is located on a 5.628-acre site and consists of five single-story self-storage buildings, and one, two-story building. The leasing office and on-site managers residence are contained in one of the single-story self-storage buildings. Mini U Storage - Fairfax Station has 623 non-climate-controlled exterior units, and 93 climate-controlled units ranging in size from 4x5 to 20x30. The facility has 55 RV/parking spaces. The proposed loan will be used to refinance the existing debt on the property. The loan is structured with a five-year interest-only term.

The transaction includes a $57,750,000 ($175,532/unit) non-recourse, first mortgage loan secured by a 329-unit, garden-style apartment complex known as Vibe Apartments, in Kent, WA. The property was originally built in 1984, and the previous owner completed $1,241,585 ($3,774/unit) in capital improvements since 2019. The improvements consist of 34, 3-story buildings, situated on 16.33 acres. The property will be rent- and income-restricted under the LURA, which requires 100% of the units to be restricted to 80% AMI. The proposed loan will be used for acquisition of the property. The loan is structured with a seven-year term, and subsequent to a five-year interest-only period, amortizes on a 35-year schedule.

The transaction includes a $9 million ($142,857/unit) non-recourse, first mortgage loan secured by a 63-unit apartment complex, 700-732 Scarsdale Avenue, located in Scarsdale, New York in the NYC MSA. The property was built in 1958 and renovated in 2020, and comprises one, four-story residential building situated on a 1.541-acre land. The proposed loan will be used to refinance the existing debt of the property. The loan is structured with a five-year, interest-only loan.

This combined transaction includes the following:

A $6.19 million ($41,544/unit) non-recourse, first mortgage loan secured by a 149-pad hybrid RV park/manufactured housing community known as Triangle RV Park North, located in Durham, North Carolina. The property was built in 1967 and is situated on 38.68 acres of land. The proposed loan will be used to refinance the existing debt on the property. The loan is structured with a 12-year, interest-only term.

A $5.61 million ($45,983/unit) non-recourse, first mortgage loan secured by a 122-pad hybrid RV park/manufactured housing community known as Triangle RV Park South, located in Garner, North Carolina. The property was built in 1974 and is situated on a 26.48-acre site. The proposed loan will be used to refinance the existing debt on the property. The loan is structured with a 12-year, interest-only term.

The transaction includes a $57,615,000 ($207,248/unit) non-recourse, first mortgage loan secured by a to-be-built, 278-unit, 4% LIHTC, age-restricted apartment community known as Townhomes on Earley, located in Casa Grande, Arizona. 100% of the units will be set aside for households earning 60% or less of the area median income for the 15-year compliance period and the 15-year extended use period. Construction is scheduled to begin in July 2025 and conclude by July 2027. The property shall consist of single-family and duplex units on 23.6 acres of land. The proposed loan will be used for construction of the property. The forward commitment period will be for 36 months. The permanent loan is structured with a 15-year term, and, subsequent to a two-year interest-only period, amortizes on a 40-year schedule.

The transaction includes a $43.1 million ($172,400/unit) non-recourse, additional advance (“Addition”) to the Hamilton Zanze Credit Facility, to provide refinancing of a 250-unit, garden-style apartment complex known as Resort at University Park, located in Colorado Springs, Colorado. Built in 2003 and currently undergoing renovations, the improvements consist of 25, two-story buildings which are situated on 18.63 acres of land. The requested Addition will provide $43.1 million in proceeds (the “Loan”) under the terms of the Master Credit Facility (the “Facility”) that closed on August 2024. The loan is structured with a 10-year, interest-only term.

KeyBank Real Estate Capital provided a $67.5 million bridge loan to assist The Hamilton Company with the acquisition of Hill Estates — a 396-unit multifamily residential community located in Belmont, Massachusetts, and two office properties located nearby at a campus off Brighton Street in the town’s easternmost neighborhood. The bridge loan will provide adequate time for the sponsor to best position the asset for a permanent agency financing.

The Hamilton Company will staff an on-site management office and operate all property management and maintenance functions for the 396 units and all common areas. Residents will also have access to the Hamilton’s full range of online tenant services, including online rent payments, maintenance requests, and renter’s insurance.

The two off-site commercial properties will be marketed and sold by The Hamilton Company as they are not part of the core business and revenue model of the Hill Estates residential community. The company plans to make significant capital improvements to the property including the renovation of all units.

“We are thrilled to have played a role in assisting Hamilton grow their robust portfolio through the addition of a legacy multifamily property in a preeminent Boston community,” said T.J. Hussey, relationship manager, KeyBank Real Estate Capital Income Property Group. “We look forward to seeing Hill Estates reach its full potential with the planned capital improvements and operations under Hamilton’s stewardship.” 

Founded in 1954 with the acquisition of a six-unit building, The Hamilton Company, owned by Harold Brown, has become one of the largest privately held real estate organizations in New England. The acquisition of the Belmont property enlarges their portfolio of premier residential properties to nearly 6,000 units in the Greater Boston area.

The transaction includes a $8,137,500 ($59,835/unit) non-recourse, first mortgage loan secured by a Class B, 136-unit garden style apartment community, known as Parkwyn Townhomes, located in North Richland Hills, Texas. Built in 1984, the property comprises eight two-story residential buildings and one clubhouse, situated on 4.82 acres. Parkwyn Townhomes is currently operating as a traditional market-rate apartment building. Upon loan closing, the property will enter the Pecos County Housing Finance Corporation (HFC) ownership structure where the title will be transferred to the HFC and the property will be ground-leased to the borrower. The borrower will become the leasehold estate owner which will qualify for a 100% real estate tax exemption, so long as 90% of units are set aside for occupancy by residents with annual incomes of 140% of the Area Median Income (AMI), including 50% of the units by residents with annual incomes of 80% of the AMI. The loan, co-originated by KeyBank and Argentic on a 35/65 split and structured with a 5-year interest only term, will be used to refinance the existing debt on the property.

KeyBank provided $750 million in financing for a portfolio of 11 luxury seniors housing properties located in Arizona, California, Oregon, and Georgia. The Senior Housing Realty Trust portfolio is owned by Senior Resource Group (SRG), Public Service Pension Investment Board (PSP), and Welltower (collectively the Sponsor). The proceeds were used for the refinancing of these stabilized properties, utilizing an interest only, 6-year term loan with a national Life Company. Balancing timing and the Sponsor’s debt strategy, Key leaned in on their experience in seniors housing and strong relationship with the lender to close the loan in less than 45 days after the term sheet was executed.