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Lument closed a 473.4-million Freddie Mac loan to refinance a 47-property apartment portfolio on Chicago's South Side

Lument Arranges $73M Freddie Mac Refi of South Side Portfolio

Lument closed a Fannie Mae loan totaling $73.4 million to refinance a portfolio of 47 multifamily apartment buildings located on Chicago’s South Side. Director Nicholas Diamond led the transaction. The sponsor was Chicago-based Icarus Investment Group and the deal was brokered by Jonathan Bodner from Two Bins Capital. 

The transaction utilized Fannie Mae’s Structured Adjustable-Rate Mortgage (SARM) product, which allowed the sponsor to consolidate six loans—several bank loans, a bridge loan, and an agency loan—into a single Fannie Mae loan with a low interest rate. The loan features a 10-year term, with five years interest only, and 35-year amortization. 

“This deal had tremendous headwinds, given the number of properties and rising interest rates,” said Diamond. “Working together with Fannie Mae and the sponsor, we were able to structure the deal with favorable terms and sizing parameters that allowed us to preserve millions of dollars in proceeds.” 

Photo courtesy of Atlas Asset Management.

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About Paul Bubny

Paul Bubny serves as Senior Content Director for Connect Commercial Real Estate, a role to which he brings 13-plus years’ experience covering the commercial real estate industry and 30-plus years in business-to-business journalism. In this capacity, he oversees daily operations while also reporting on both local/regional markets and national trends, covering individual transactions across all property types, as well as delving into broader subject matter. He produces 15-20 daily news stories per day and works with the Connect team and clients to develop longer-form content, ranging from Q&As to thought-leadership pieces. Prior to joining Connect, Paul was Managing Editor for both Real Estate Forum and GlobeSt.com at American Lawyer Media, where he oversaw operations at both publications while also producing daily news and feature-length articles. His tenure in B2B publishing stretches back into the print era, and he has served as Editor in Chief on four national trade publications. Since 1999, Paul has volunteered as the newsletter editor of passenger rail advocacy groups (one national, one local).

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