Announcing a 167-Unit Multifamily Acquisition
PPR is pleased to announce that in conjunction with Berger Investments we have closed on a 167-unit mid-rise multifamily property in Ohio with an equity contribution of $7,315,000.
The acquisition was incredibly advantageous to our firm with the recasting of the existing mortgage on the property as the in-place lender provided aggressive debt terms compared to the current market conditions.
We anticipate a three-year hold with debt terms that include a $21,000,000 loan with a two-year term and a one-year extension, as well as an interest rate capped at 6.25%. This offers an opportunity to take advantage of under-market debt while simultaneously taking over and improving the under-performing property management of the property.
The project has significant upside potential and the underwriting shows that the property requires minimal capital expenditure for improvement.
Our partnering sponsor, Berger Investments, currently manages over 9,000 multifamily units across 50+ properties and brings over 50 years of experience to the project.
This acquisition is an ideal complement to our existing commercial real estate portfolio and we look forward to more opportunistic projects like these in the future.