Meridian Capital Group, America’s most active dealmaker, arranged $37 million in financing to refinance a noncontiguous 46-property multifamily portfolio in Chicago, IL on behalf of a Chicago-based private REIT.
The 10-year CMBS loan features full-term interest-only payments and was negotiated by Meridian Senior Managing Director, Seth Grossman, and Vice President, Sarah Kuebler, who are both based in the company’s Southern California offices.
Located in various neighborhoods throughout Chicago’s South Side, the 46 multifamily properties contain a total of 835 apartment units with a handful of the assets also containing ground floor commercial tenants. As the properties were acquired, renovated, and previously financed at different times, there were many moving parts that had to be coordinated prior to refinancing.
“We previously refinanced the majority of this portfolio in 2011 and 2012. At that time, our client transformed what were primarily boarded-up, abandoned buildings that suffered neglect during the Great Recession into highly regarded, safe, affordable workforce housing,” said Mr. Grossman. “The continued operational improvement created an opportunity to recapitalize the portfolio with a significant cash-out, lower rate and full-term interest-only payments. Synchronizing multiple payoffs and the administrative tasks of moving 46 assets in tandem took a concerted effort between our team, the lender, and the borrower, but as all involved parties have worked together many times in the past on prior financings, the process was able to move smoothly from start to finish.”
Founded in 1991, Meridian Capital Group is America’s most active dealmaker and one of the nation’s leading commercial real estate finance, investment sales and retail leasing advisors. In 2017, Meridian closed over 3,000 transactions across more than 200 unique lenders and sold nearly $1 billion in commercial property. 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, and healthcare and senior housing properties. Meridian is headquartered in New York City with offices in New Jersey, Maryland, Illinois, Ohio, Florida, and California.