Contiguous Multifamily Properties Find $46M Financing in Simi Valley

Two loans totaling $45.548 million were recently secured by two contiguous multifamily properties in Simi Valley. These properties are similar in design, size and age. Both total 180 units, comprise one-, two- and three-bedroom units, and each offers a pool, spa, garages and fitness center.

Eric Flyckt, managing director, and Casey Allred, vice president, in Northmarq’s San Diego office, arranged both loans. The financing was arranged for the borrower through its designation as a Fannie Mae DUS Lender. Fannie Mae’s Green Rewards program produced a lower interest rate and higher loan proceeds in exchange for future property improvements that result in energy and water savings.

The properties have a strong history of maintaining high occupancy levels and were 100 percent occupied at the time of the financing.

“These are extremely attractive loans with low fixed rates in the mid-2 percent range, are interest-only for the entire seven-year terms and generated a considerable return of equity to the borrower. These transactions went very smooth and closed in 45 days from application to funding,” said Flyckt.