44-Unit Multi-Family Acquisition | Arlington, Texas
Today we’re turning the spotlight on an apartment building in Arlington, Texas. The 44-unit multi-family property proved to be one of our most challenging assignments yet, owing to a combination of the asset’s attributes and uncertain market conditions. The Terrydale Capital Team is proud to have risen to the challenge and delivered for our clients.
What We Were Up Against
Despite their experience as a multi-family investor group, this was our Client’s first purchase in the Texas market. As a result, several Lenders expressed uncertainties due to the lack of in-state presence. The Seller’s poor management and absentee ownership position had also left the property un-stabilized at the time of contract and in need of repairs, with a 55% occupancy rate.
The closing timeline given per the Sales Contract was short, and with less than a week to close, we found out that a section of the property sat in a Flood Zone. Additional flood insurance would be required.
What Our Team Helped Turn Around
By successfully negotiating an extension with the Sales Broker for formal loan approval and deal close by the contract deadline, we facilitated more thorough negotiations. Consequently, there was better communication of the Borrower’s vision and plans for a Texas portfolio expansion to the Lender. Picking up a flood insurance policy on the way, the Terrydale Capital team gave the Borrower the foundation needed to take over leasing and achieve an 80% occupancy before close. Right on schedule, we secured an advancing term bridge loan for acquisition and renovation on the following terms:
- $2,842,500 Loan Amount
- 79% LTC
- 4.25% Fixed Rate for 5 Years
- 2-Year IO followed by 3 Years of Amortized Loan
- Limited PP for only 2 Years of 5-Year Term
The team at Terrydale Capital consistently goes above and beyond to secure the best possible refinancing terms for our clients. Are you dealing with issues related to market volatility during COVID-19? Worried about high fees and missing out on better options? We have ways to help. Give us a call and see what we can do for you.
Your Success is our Priority!
Want first access to active opportunities and a preferred investor status?
More Deals and Updates
State of the Market | May 2023
Market Updates Commercial Real Estate Financing State of the Market | May 2023May 4th, 2023 · 4 min readAt Terrydale Capital, we strive to provide our clients with a comprehensive array of capital solutions. To ensure that we remain current with the latest market...
$3MM Multifamily Refinance | Kansas City, MO
DEAL SPOTLIGHT $3MM Multi-Family Cash-Out Refinance | Kansas City, Kansas17th April 2023 · 2 min readAt Terrydale Capital, we understand that seizing opportunities in a fluctuating market can mean the difference between success and missed potential. In our latest Deal...
State of the Market | April 2023
Market Updates Commercial Real Estate Financing State of the Market | April 2023April 6th, 2022 · 4 min readAt Terrydale Capital, we are dedicated to offering our clients a diverse range of capital solutions. We make sure to stay up-to-date with the prevailing...
$9.95MM RV & Storage Acquisition | Indianapolis, IN
DEAL SPOTLIGHT $9.95MM RV and Self Storage Acquisition | Indianapolis, IN23rd March 2023 · 3 min readIn today's Deal Spotlight, we're highlighting the successful financing of a $9.95 million acquisition of an RV and Self-Storage hybrid asset in Indianapolis, Indiana....
State of the Market | March 2023
Market Updates Commercial Real Estate Financing State of the Market | March 2023March 9th, 2022 · 4 min readTerrydale Capital is committed to providing our clients with a variety of capital solutions. We stay current with commercial interest rates in the market by...
A Different Coverage: Understanding DSCR
Recent News A Different Coverage: Understanding DSCRFebruary 23rd, 2023 · 5 min readWhat is the DSCR? The debt service coverage ratio (DSCR) or debt coverage ratio is the measure of operating income available to service debt for interest, lease payments and principal....
Analyzing Housing Costs’ Impact on Multi-Family Investments
Deal Spotlight Multi-Family Investments and the Impact of Escalating Housing CostsFebruary 23rd, 2023 · 5 min read After the great recession, the annual average inflation rate was often around two to three percent. Such a favorable economic atmosphere saw the...
State of the Market | February 2023
Market Updates Commercial Real Estate Financing State of the Market | February 2023February 9th, 2022 · 4 min readAt Terrydale Capital, we are dedicated to delivering multiple capital solutions to our clients. We stay on top of the market by continuously engaging with...
Terrydale Capital 2022 Year In-Review
Recent news TDC 2022 Year In-Review8th February 2023 · 3 min readMore Deals and Updates