Multi-Family Portfolio Acquisition in Dallas, Texas
07 April, 2022 · 2 min read
Today’s deal spotlight centers on the acquisition of a multi-family portfolio in Dallas, Texas. Being that Terrydale had financed the clients properties in the past, the seller came to Terrydale asking for guidance on valuation and financing options. To get started, we did a full comprehensive underwriting and market analysis to give him a breakdown of what the value of each property is.
These properties were conveniently located to the Terrydale office and fit within the parameters of some of our previous investments, leading to a competitive offer that was accepted by the client. Due to the vintage builds (starting at 1936) of the properties, the multi-family portfolio required a lot of due diligence due to the very poor condition of the properties.
To facilitate the deal expeditiously, we decided to assemble a group of our clients to close this transaction, including an asset manager, an equity and tax professional, as well as property manager with 40 years of experience.
What We Were Up Against
During the close process, we discovered many unforeseen repairs that needed to be addressed. Additionally, we were coordinating around COVID challenges, historical district questions, major plumbing and foundation concerns with limited crawl space access and very limited financial data, some of which was handwritten.
What Our Team Helped Turn Around
Terrydale Capital put its network to use, having our friends and client’s step in and bring their expertise to get over the construction hurdles as well as bring the remaining equity to the table. We also negotiated with the seller to advise them of the challenges we uncovered and came to an agreeable seller concession. Combined with the use of an updated pro forma and CapEx with the new repairs included, and previously used surveyors and third-party contractors to get a quick turnaround on necessary reports, we closed with the following terms:
- A $12,600,000 Loan Acquisition
- 6.50% Fixed Interest Rate
- 36-Month Loan Term
- Interest-Only with 80% LTC (heavy rehab of 40% of total cost)
For the best chance of closing a real estate financing deal on your terms, look no further than Terrydale Capital. Our team consistently goes above and beyond to secure the best possible refinancing terms for our clients amidst lending restrictions, market volatility, and a lack of experience. Whatever you need, we close the gap.
Want access to real estate opportunities you won’t find anywhere else? Click Below
Want to receive Weekly Market Updates, Deal Spotlights, Off-Market Opportunities, and Referral Rewards such as a Peloton?
More Deals and Updates
DEAL SPOTLIGHT Quick Land Acquisition | Jarrell, TexasMay 19, 2022 · 2 min readToday’s Deal Spotlight centers on a land acquisition in Jarrell, Texas. Our clients wanted to partner with experts in this niche, so they chose TDC. What We Were Up Against There was a time...
DEAL SPOTLIGHT Hard Money Loans: A Solid, Short-Term StrategyMay 11, 2022 · 5 min readInvesting in the commercial real estate industry is an excellent way to grow and diversify your portfolio, especially if you’re looking for long-term stability and strong returns....
DEAL SPOTLIGHT Single-Tenant Retail Refinance | Pueblo, ColoradoMay 05, 2022 · 2 min readToday’s Deal Spotlight centers on the refinance of a single-tenant retail asset in Pueblo, Colorado. Our client had high hopes for the results of this deal, and of course, our...
Market Updates Commercial Real Estate State of the Market: April 2022April 28th, 2022 · 4 min readTerrydale Capital is actively providing capital solutions to our clients. We are in constant discussions with our capital market resources and are also identifying new...
DEAL SPOTLIGHT Purchase and Renovation of a Multifamily Asset in Midlothian, Texas14 April, 2022 · 2 min readToday’s deal spotlight centers on the purchase and renovation of a multifamily asset in Midlothian, Texas. Sometimes it’s not just the asks that make a deal...
Market Updates The Rise of Commercial Real Estate in Kansas CityMarch 30th, 2022 · 2 min readIf you paid attention to the national real estate market last year, you couldn't have missed Kansas City’s stellar performance. With their 2020 trend of demand eclipsing...
Learn How Are Commercial Real Estate Interested Rates Calculated?April 21, 2022 · 5 min readCommercial real estate interest rates are something that all borrowers want to understand. The reason is that the interest rate you pay will significantly impact the overall...
DEAL SPOTLIGHT Indiana Family Dollar & Little Caesars Acquisition Loan16 Mar, 2022 · 2 min readToday’s deal spotlight highlights a recently closed transaction in Indiana and centers on the $1.3 million loan acquisition of a Little Caesars & Family Dollar...
News TDC's Amy Kinsey Named One of the Most Influential Women in the Mortgage IndustryMarch 16, 2022 · 2 min readTeam TDC would like to congratulate our very own COO, Amy Kinsey, who in celebration of International Women’s Day 2022, was listed as one of Peoples...