DALLAS, TX– The Dallas office of Berkadia Commercial Mortgage LLC (Berkadia) recently closed a total of $32.1 million in financing for two multifamily properties located in southeast Texas. Senior Vice Presidents Steve Mentesana and Tim Nunan secured both loans through the U.S. Department of Housing and Urban Development (HUD) 221(d)(4) new construction program.
Mentesana and Nunan worked with borrower JLC Gaston LLC to originate a $19.2 million construction loan for Grand Fountain Apartments. The fixed-rate loan includes a fully amortizing 40-year loan term. The Class A property is located approximately 30 miles west of Houston in Katy, Texas. It consists of 198 units and includes one-, two- and three-bedroom layouts, some with attached garages. Additional amenities include a theatre, fitness center and playground.
Berkadia also arranged $12.9 million in construction financing for borrower Encore MF Corpus II LP. The fixed-rate, fully amortizing loan was for the second phase of Encore Crossings Apartments and also features a 40-year term. Located in Corpus Christi, Texas, the Class A property will feature 155 one- and two-bedroom units. The first phase of the property is currently 96 percent occupied. Amenities include a pool with an aquatic lounge and outdoor kitchen, a cyber cafe and a media lounge.
“The staggering growth of both Katy and Corpus Christi is bringing jobs to the region and with it, an increasing pool of potential tenants and a strong appetite for development,” Nunan said. “Borrowers are eager to capitalize on this market activity, and Berkadia’s expertise in the Texas market and strong FHA/HUD capabilities allow us to secure favorable loan terms for our clients.”
“We have previously worked with the borrowers of both transactions,” added Mentesana. “Continuing and building upon these already strong relationships enabled the loan closing process to run smoothly.”
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