COLUMBUS, Ohio--(BUSINESS WIRE)--RED Mortgage Capital (RED), a division of ORIX Real Estate Capital, announced that they have provided an $11.36 million Freddie Mac conventional mortgage loan to refinance Redwood Reynoldsburg (formerly known as Blacklick Pointe), a multifamily community located in Reynoldsburg, Ohio.
Redwood Reynoldsburg boasts 89 for-rent apartment units comprised of 20 one-story residential buildings, a leasing office and a maintenance structure. Each residence has an attached two-car garage that is included in tenants’ monthly rent. The neighborhood was developed beginning in 2018 and totals 120,293 square feet of rentable space.
Less than 24 months old, the property is in excellent condition and one of the newest assets in the immediate area. As of early June, 2020, Redwood Reynoldsburg was 94.4% occupied. The loan was used to pay off construction debt and recapitalize the borrower by retiring preferred equity.
“This is the first Freddie Mac conventional loan closed by RED, a division of ORIX Real Estate Capital, and is made possible by our recent merger with Hunt Real Estate Capital,” noted Andy Warnock, managing director at RED. “Hunt is a seasoned agency lender with long-standing, credible relationships with Freddie Mac and Fannie Mae. We were glad to tap their expertise and expand our capabilities to close our first-ever loan of this kind.”
The borrower is Reynoldsburg One LLC, an Ohio limited liability company, backed by guarantors Steve Kimmelman, David Conwill and Leslie Leohr. The loan was structured with a 10-year term with five years of interest only, followed by a 30-year amortization period and standard defeasance prepayment.
“Redwood is a premier multifamily development operation with current ownership interests in nearly 9,900 stabilized units housed in more than 120 phases (and growing),” added Warnock. “They are also loyal, repeat agency borrowers.”
Redwood Reynoldsburg will be managed by Redwood Living, Inc., an affiliated management company with over 13,500 units under management. The company was founded in 1991 and is headquartered in Ohio.
Reynoldsburg is located within the Columbus MSA, which is approximately 125 miles southwest of Cleveland and 100 miles northeast of Cincinnati.
RED Mortgage Capital, a division of ORIX Real Estate Capital (OREC), provides targeted financial services in the multifamily and affordable housing markets. OREC is a Fannie Mae DUS®, MAP- and Lean-approved FHA, and Freddie Mac OptigoSM Small Balance lender. The OREC companies have financed approximately $100 billion in total transaction amount and originate $6 billion annually with a servicing portfolio of $25 billion. Headquartered in Columbus, OH, OREC is a wholly owned subsidiary of ORIX Corporation USA. Securities, Investment Banking and Advisory Services are provided through OREC Securities, LLC, member FINRA/SIPC.