NexPoint Residential Trust secured fresh financing for 17 apartment complexes throughout the Sun Belt and is on the cusp of refinancing 17 others.
JP Morgan and Freddie Mac are the lenders for the $1.466 billion refi deal, according to a news release from Dallas-based NexPoint. The financing addresses 97.7 percent of the firm’s outstanding debt. The second round of loans is expected to close on Nov. 29.
All but one of the loans have a seven-year term and a floating interest rate starting at 6.25 percent. The mortgage for Residences at West Place, at 753 Sherwood Terrace Drive in Orlando, has a fixed rate of 4.24 percent and lasts 12 years.
The properties in the Metroplex are:
- Cutter’s Point Apartment Homes, at 1111 Abrams Road in Richardson
- Arbors on Forest Ridge Apartments, at 2200 Forest Ridge Drive in Bedford
- Versailles I & II, at 4900 and 5050 Pear Ridge Drive in Dallas
- Venue at 8651, at 8651 Meadowbrook Boulevard in Fort Worth
- Atera Apartments, at 4606 Cedar Springs Road in Dallas
- Summers Landing, at 3900 Centreport Drive in Fort Worth
The outstanding principal for the 34 properties is $1.499 billion. For the North Texas properties, it’s $154.7 million.
NexPoint’s other properties are located throughout the Sun Belt, in high-growth markets in Florida, Georgia, North Carolina, Tennessee, Arizona and Nevada.
Experts hope refinancing opportunities like this one will be easier to come by since the Federal Reserve lowered interest rates last month.
Read more
Commercial
Dallas
NexPoint’s $4B Plano life science campus wins local approval
Commercial
Texas
NexPoint offloading multifamily holdings in Houston and Dallas
NexPoint Residential Trust specializes in value-add multifamily investments. Occupancy across the portfolio is nearly 95 percent.
The company recently exited the Houston market by selling the 190-unit Stone Creek at Old Farm, at 8585 Woodway Drive.
It bought that property for $23.3 million ($122,600 per unit) in 2016. Stone Creek was built in 1998, and at the time of the sale, its occupancy was more than 96 percent. The buyer was Dallas-based Lion Real Estate Group, deed records show.