(EDITOR’S NOTE: According to sources, the sale price was $55 million, or $423,076 per unit. The seller was PCCP, and the brokers on the deal were John McCulloch and Mark Leary of ARA Newmark.)
SAN FRANCISCO (November 27, 2017) – A team led by managing director Dennis Williams and vice president Tom Wight in NorthMarq Capital’s San Francisco office arranged a $31,500,000 permanent loan for the acquisition of Tralee Village Apartments, a 130-unit luxury multifamily community in Dublin, California.
The tight timing of the best-and-final bidding process meant that the borrower, JB Matteson, Inc., required real-time information on the acquisition debt. NorthMarq Capital reached out to several longtime life company relationships and provided the borrower with multiple competitive quotes within twenty-four hours of their request. After the seller selected JB Matteson as the buyer, NorthMarq Capital was able to provide an executable term sheet from PPM Finance within one business day.
The non-recourse, 55 percent LTV loan features interest-only payments for the full 7-year term and a competitive interest rate of 3.60 percent (quoted as a spread of 140 basis points over the 7-year UST). The borrower will benefit from the loan’s flexible prepayment schedule of four years of yield maintenance followed by two percent in year five, one percent in year six, and par in year seven. As the life company correspondent NorthMarq Capital will service the loan and stay permanently involved to support both the borrower and the life company.
Tralee Village Apartments is the borrower’s sixth San Francisco Bay Area multifamily acquisition. The Class-A luxury community offers a mixture of one-, two-, and three-bedroom units featuring nine-foot ceilings, granite kitchen countertops, full-sized washers and dryers, and patios with balconies. Shared community amenities include a fitness center, pool and spa, business center, and secured underground parking. The property is within close proximity to Hacienda Business Park and Bishop Ranch, two of the Bay Area’s largest business parks, as well as a myriad of shopping opportunities at Stoneridge Mall, Hacienda Crossings, Dublin Place, Persimmon Place, and Rose Pavilion. Tralee Village Apartments is less than one mile from both Dublin/Pleasanton BART stations, as well as the I-580 and I-680, providing residents with direct access to the entire Bay Area.
About JB Matteson
JB Matteson is a 50-year old privately held investment manager located on the San Francisco Peninsula. On behalf of several hundred private capital investors, JB Matteson owns and operates Class A, investment grade multifamily properties located in major metropolitan areas on the West Coast. JB Matteson’s $1 billion portfolio includes both urban mixed-use assets and suburban garden style apartments. JB Matteson’s other Bay Area properties include Ilara Apartments in Milpitas, Millworks Apartments in Novato, Rafael Town Center in San Rafael, and Theatre Square Apartments in Petaluma. JB Matteson financed all of these properties through NorthMarq Capital. For more information, visit www.jbmatteson.com.
About NorthMarq Capital
NorthMarq Capital, the largest privately held commercial real estate financial intermediary in the U.S., provides debt, equity and commercial loan servicing through its 37 offices nationwide. The company has built long-term relationships with life companies, CMBS platforms and local, regional and national banks, with a long track record of multifamily loan origination through Freddie Mac, Fannie Mae and FHA/HUD. The company closes approximately $13 billion in commercial real estate loans annually and services a loan portfolio of more than $50 billion. For more information please visit www.northmarq.com.