$50,570,000

Transaction Description: 

George Smith Partners successfully closed a 39-property refinance of workforce housing apartments located in the Western States. GSP arranged a programmatic relationship with a life-insurance company that provides long-term financing with the flexibility of prepaying or resetting the rate every 5 years. Despite the tough lending market, the lender also allowed a substantial return of equity, locked the rate at application and underwrote to a 1.25 DCR. The lender also agreed to consider additional cash out at the time of rate adjustments. Combined appraisals for multiple properties were allowed, limited environmental reports were required and reserves were waived. The Sponsor has been a GSP client for over 30 years.