FOR IMMEDIATE RELEASE
For Transaction Inquiries Contact:
Media Relations
Managing Director
media.relations@terracecapital....
of 1

Terrace Capital Announces the Origination of a Multifamily Loan on a Class C Apartment Complex in Texas

Terrace Capital, a full service real estate investment bank, announces the origination of a $5MM commercial mortgage on a class C multifamily complex located in central Texas. The high leverage, commercial mortgage financing provided funds for the refinance of existing debt in default and cash-out for funds to be utilized by the sponsorship in new developments. The non recourse mortgage had a 10 year fixed term, a 25 year amortization period, with no personal guarantees. The sponsor had explored utilizing a Fannie Mae or Freddie Mac execution, though these were not viable options, given the current status of the existing debt.
Published on: Mar 4, 2016
Published in: Business      
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Transcripts - Terrace Capital Announces the Origination of a Multifamily Loan on a Class C Apartment Complex in Texas

  • 1. FOR IMMEDIATE RELEASE For Transaction Inquiries Contact: Media Relations Managing Director media.relations@terracecapital.com Terrace Capital 65 Broadway- 7th Floor New York, New York 10006 (212) 671-1044 Terrace Capital Announces the Origination of a Multifamily Loan on a Class C Apartment Complex in Texas. New York, New York – February 26, 2015 - Terrace Capital, a full service real estate investment bank, announces the origination of a $5MM commercial mortgage on a class C multifamily complex located in central Texas. The high leverage, commercial mortgage financing provided funds for the refinance of existing debt in default and cash-out for funds to be utilized by the sponsorship in new developments. The non recourse mortgage had a 10 year fixed term, a 25 year amortization period, with no personal guarantees. The sponsor had explored utilizing a Fannie Mae or Freddie Mac execution, though these were not viable options, given the current status of the existing debt. The complex was developed in the early 1980's and suffered from deferred maintenance issues, high vacancy rates and was located in a sparsely populated region of central Texas. Despite the existing debt being in default due to a breach of occupancy covenants and a maturity default, the Terrace team focused on the rising occupancy trends and the experience of the new manager recently installed at the property, which lead to a successful transaction. Terrace Capital focuses on non-recourse, high leverage senior & subordinate debt and preferred equity with investments starting at $5MM on income producing retail, office, industrial, multifamily, self-storage and hospitality properties located throughout the United States. The Firm is a leader in providing permanent mortgages and equity for wide range of real estate transactions. For more information about Terrace Capital and the services it provides, go to www.terracecapital.com.

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