KALAMAZOO, Mich. – Marcus & Millichap Capital Corporation (MMCC), a leading provider of commercial real estate financing and capital markets expertise, has arranged $18,000,000 million of debt for a 240-unit student housing asset in Kalamazoo, Mich.
Rick Lynn, an associate director in the firm’s Chicago Oak Brook office, arranged the loan.
“The borrower was interested in securing a long-term fixed rate for this property,” says Lynn. “We obtained a loan from a life insurance company that met the original loan request and satisfied the borrower’s needs.”
“The property is one of the premier student housing projects in the area. Over 27,000 students from three universities make up the college population,” adds Lynn.
“The market for student housing financing through agency debt is changing rapidly. More multifamily and student housing properties are financed by sources other than GSE’s. There are excellent, competitive alternatives to the GSE’s in the market today,” concludes Lynn.
The 10-year fixed loan amortizes over 30 years at 4.6 percent, with a 70 percent loan-to-value.