Tower Capital, a leading provider of multifamily financing, secured $12.93M million in non-recourse agency financing via Fannie Mae DUS for the refinance of an 88-unit multifamily community situated in Tempe, AZ. The property is comprised of 32 one-bedroom units and 56 two-bedroom units. The property was initially purchased in Q4 2021, and the Sponsor has since invested nearly $1M on interior and exterior renovations. So far, 23 units have been fully renovated and with the successful refinance, the Sponsor plans to continue renovating the remaining units, which are still in classic condition. The upgraded units consist of new flooring, modernized kitchens featuring stainless steel appliances and granite style countertops, brand-new cabinetry, and updated bathrooms with brand-new vanities. Each unit at the property additionally includes a large balcony/patio, as well as an in-unit washer and dryer. Community amenities consist of a resort-style pool and spa, outdoor grilling stations, dog run, and a 24-hour fitness center.
Situated in the heart of Tempe, the property is walking distance from Tempe Town Lake, Arizona State University’s main campus, Sun Devil Stadium, Wells Fargo Arena, Mill Avenue, Papago Park, and the Marina Heights office complex, which serves as regional HQ’s for Carvana and State Farm. An abundance of cafes, restaurants, shopping boutiques, and nightlife surrounds the property, providing residents an abundance of retail amenities in a true live-work-play environment. The property additionally offers premier accessibility as it is adjacent to the Loop 202 and in close proximity to multiple public transportation routes inclusive of the city bus line and light rail.
The Sponsor is a highly experienced, California-based multifamily private investment group with plans to continue to expand their portfolio of existing assets throughout the Southwestern United States. Tower has been able to successfully finance multiple properties for its client.
The non-recourse refinance arranged by the Tower team will allow the Sponsor to seamlessly implement their business plan and hold on to the asset long term. The Sponsor was facing a loan maturity with their existing bridge loan at the end of December 2024, so the Tower team acted quickly to procure competitive financing in a critical timeframe.
