JLL Capital Markets has arranged a $35.4 million cash-out refinancing for a six-property, 209-unit multi-housing portfolio. Acquired by RedPeak in February 2019, the portfolio is scattered throughout central Denver with properties located at 1280 Lafayette St., 10 South Pennsylvania St., 899 Washington St., 960 South Logan St., 1360 Williams St. and 1402 Race St.
JLL worked on behalf of the borrower, RedPeak Properties, LLC, to originate the 10-year, fixed-rate, full-term interest-only Fannie Mae loan. The all-in-rate of the 65 percent loan-to-value loan was sub-three percent. JLL structured a blanket mortgage on the scatter site portfolio in order to improve pricing and terms for RedPeak. The loan will be serviced by JLL Real Estate Capital, LLC, a Fannie Mae DUS lender and proceeds will be used to refinance the existing loan along with the capital expenditures spent on the renovation of all units.
The properties contain a mix of studio, one- and two-bedroom units that include dishwashers, wood-burning fireplaces, heat & air conditioning, electric stoves and patio/balconies. The communities feature rooftop patios with grills, controlled access, on-site laundry facilities, courtyards and picnic areas.
“The JLL team did an excellent job sourcing an optimal debt execution across this portfolio,” said Bobby Hutchinson, CIO at RedPeak.
The JLL Capital Markets debt team that represented the borrower was led by Senior Managing Director Eric Tupler and Managing Director Tony Nargi.
“RedPeak did an absolutely tremendous job in fully renovating these 1960s vintage assets and preserving very well-located, market-rate affordable housing in central Denver,” said Nargi. “JLL is thrilled to be involved in this financing with such a great local owner and operator.”
