Done Deals: Meridian Capital Group Arranges $66 Million in Acquisition Financing for a Multifamily Portfolio in FL

Sunday, May 27, 2018

Meridian Capital Group Arranges $66 Million in Acquisition Financing for a Multifamily Portfolio in FL

Part of the Blue Roc Florida portfolio

Solana Beach, CA – Meridian Capital Group, America’s most active dealmaker, arranged $66 million in acquisition financing for a multifamily portfolio containing six properties located throughout Florida on behalf of Blue Roc Premier.

Although all closings occurred on one coordinated day due to the purchase agreement requiring a simultaneous closing for the portfolio, each property was financed separately to allow maximum flexibility for the sponsor.

Part of the Blue Rock Florida portfolio

The seven-year Freddie Mac loans, provided by Capital One Multifamily Finance, all feature floating rates and two years of interest-only payments.

This transaction was negotiated by Meridian Senior Managing Director, Seth Grossman, and Vice President, Sarah Kuebler, who are both based in the company’s Solana Beach, CA office.

The portfolio consists of six properties located in Atlantic Beach, Jacksonville, Orange Park, Ormond Beach, DeLand, and Brandon, FL, totaling 1,010 units with an average occupancy rate of 97%.

Seth Grossman

The well-equipped complexes include strong amenity packages that vary by location, though many feature racquetball, tennis, volleyball, and swimming pools onsite.

While a portion of the units at each community had been renovated prior to the acquisition, the sponsor plans to invest in excess of $10 million of capex into the portfolio for renovations and upgrades.

Additionally, all of the properties are advantageously located within their submarkets near major thoroughfares, employment opportunities, restaurants and numerous retailers.

“Even though these six assets were spread across the state of Florida in many different markets, each of the assets are located in a submarket that our client currently owns and manages other apartment communities in. That deep knowledge of direct comps and market specifics helped the lender quickly gain comfort and confidence in the business plan and upside expectations,” said Mr. Grossman.

Founded in 1991, Meridian Capital Group is America’s most active deal maker and one of the nation’s leading commercial real estate finance and investment sales firms. In 2017, Meridian closed over 3,000 transactions across more than 200 unique lenders and sold nearly $1 billion in commercial property.

Sarah Kuebler

Since inception, the company has closed more than $300 billion in financing with the full complement of capital providers, encompassing local, regional and national banks, CMBS lenders, agency lenders, mortgage REITs, life insurance companies, credit unions and private equity funds.

Meridian represents many of the world’s leading real estate investors and developers and the company’s expansive platform has specialized practices for a broad array of property types including office, retail, multifamily, hotel, mixed-use, industrial, healthcare, student housing and self-storage properties. Meridian is headquartered in New York City with offices in New Jersey, Maryland, Illinois, Ohio, Florida and California.

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