George Smith Partners Secures $41 Million in Acquisition Financing for 300-Unit Class A Multifamily Property in Colorado Springs, CO

The Vineyards Apartments, Colorado Springs, CO

COLORADO SPRINGS, CO. – Commercial real estate investment banking firm George Smith Partners has successfully arranged $41 million in financing for the acquisition of The Vineyards, a 300-unit Class A apartment community in Colorado Springs, Colorado on behalf of a private real estate investment and development company.

The financing, arranged by George Smith Partners’ Principal Jonathan Lee and provided by Walker and Dunlop, comprised 75-percent of the acquisition cost.  The non-recourse loan closed at 4.31 percent with a 12-year fixed rate at nine years interest only.

“This structure is rare in the current financing climate.  Our client was seeking a long period of interest-only financing, however lenders were initially hesitant to agree to these terms,” Lee says.

Jonathan Lee

 “By demonstrating the strength of the asset, which is well-positioned as one of the few Class A apartment communities in Northern Colorado Springs, as well as the projected growth in NOI based on the buyer’s plan for the property, we were able to secure financing that met the needs of both the client and the lender.

“ Further, we recommended locking the loan rate prior to the election, which saved our client from a spike in cost when the U.S. Treasury jumped 50 to 60 basis points post-election.”

The buyer plans to renovate all units and upgrade the community’s landscaping and on-site amenities, including the clubhouse, fitness center, leasing offices and business center, all of which will support moderate rent growth at the property. 

Bill Morkes and Craig Stack of Colliers International represented both the buyer and the seller in the transaction.

For a complete copy of the company’s news release, please contact:

Miki Conant / Jenn Quader

Brower, Miller & Cole

(949) 955-7940

mconant@browermillercole.com

www.GSPartners.com.