Construction financing totaling $62 million was obtained for Bungalows on Cotton Lane, a new 336-unit single-story build-to-rent community situated on 35.34 net acres in Glendale. The loan was provided to Cavan Companies, the developer, and was originated by ACRES Capital.

Bungalows on Cotton Lane is located at North Cotton Lane and West Orangewood Avenue, just west of Loop 303.

Jeremy Korer and Kristian Brown with Cushman & Wakefield’s equity, debt and structured finance group in Phoenix represented the developer in the transaction. Korer has already closed nine finance transactions in the built-to-rent space in the Phoenix market.

“Bungalows on Cotton Lane will provide a wonderful class-A horizontal rental opportunity for residents of Glendale and Phoenix metro market seeking a modern standalone home with all the amenity perks found in a more luxury multifamily environment, along with maintenance-free living,” said Korer. “The built-to-rent trend is a fairly new product type but that has exploded the past few years. We are seeing increasing demand from renters as well as investors, developers and lenders wanting to get into this space in Phoenix as well as other parts of the country. One of the draws has been they provide residents with the feel of a single-family home.”