Multifamily developer Wood Partners sewed up $86.3 million in refinancing for its 387-unit apartment complex in Midtown Miami.
Asia Capital Real Estate provided the first mortgage from its latest debt fund, with a loan-to-value ratio of 57.5 percent, according to a release from the company. The term of the loan is five years, inclusive of extension options. The refinancing closed on Aug. 14.
The multifamily complex, called Yard 8, formerly known as Midtown 8, was completed last year and is 83 percent occupied, according to Wood Partners and ACRE. Atlanta-based Wood Partners acquired the 2-acre site in 2016 for $25 million from investor Alex Vadia.
ACRE is New York City-based private equity firm that specializes in multifamily investing through equity and debt funds. The firm has $2.2 billion in assets under management for institutional investors and family offices, according to the release.
Since the U.S. declared a state of emergency and shut down large swaths of the country in March due to the coronavirus pandemic, multifamily owners and lenders have been asking for federal relief to assist with rent collection and to end eviction bans.
Thus far, rent collections have held steady, though the upcoming end of relief provided through the CARES Act is cause for concern for some lenders.
ACRE, however, is not one of them. The firm remains “very active” in the sector and is looking to expand, according to Daniel Jacobs, head of origination for the firm.
“We’re looking to gain significant market share,” he said. “ACRE is very excited to form a long-term partnership with Wood Partners.”
Write to Erin Hudson at [email protected]