CBRE Affordable Housing has arranged the sale and financing of Parkwood, a 221-unit affordable multifamily property in Falls Church, Virginia, for $34.4 million.
Jeff Kunitz, Executive Vice President of CBRE Affordable Housing, and Jonathan Greenberg, Senior Vice President of CBRE Washington DC Multifamily, represented the seller in the transaction.
Jim Flinn, Senior Vice President of CBRE Affordable Housing’s Debt and Structure Finance team, secured $30 million in acquisition financing utilizing the Freddie Mac Bridge-to-Resyndication loan program. CBRE Affordable Housing was also able to provide a Freddie Mac Tax-Exempt Loan (TEL), which will be used in connection with 4% tax credits to substantially rehabilitate the property.
“Working closely with CBRE Affordable Housing’s Investment Sales and leveraging our agency knowledge, our lending team was able to secure a waiver to allow a 30-month bridge term, as well as quickly alleviate environmental concerns at the property,” commented Mr. Flinn. “CBRE Affordable Housing’s integrated platform allowed us to collaborate to overcome hurdles and resolve last-minute changes while preserving certainty of execution for all parties.”
Parkwood offers one- and two-bedroom floor plans, with all units kept affordable by a Low-Income Housing Tax Credit (LITHC) regulatory agreement limiting renters to incomes below 60% of AMI. The property is situated in the desirable Washington-Arlington-Alexandria MSA and benefits greatly from its proximity to the metro’s larger cities, including Washington, DC, which is just 25 minutes east.
“This sale further demonstrates the appeal of the mid-Atlantic market for affordable housing buyers. Virginia and the DC area continue to offer attractive investment opportunities for those looking to expand their affordable housing portfolios,” said Mr. Kunitz.
CBRE Affordable Housing is a specialty group within CBRE Group, Inc. that combines investment sales, debt and structured finance, and investment banking into a fully integrated service offering for clients in the affordable housing industry. They have closed over $14 billion dollars in sales and financing since 2001 and have conducted transactions in all 50 states and Puerto Rico.
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBG), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (based on 2016 revenue). The company has more than 75,000 employees (excluding affiliates), and serves real estate investors and occupiers through approximately 450 offices (excluding affiliates) worldwide. CBRE offers a broad range of integrated services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com.
