CBRE Affordable Housing announced that it has arranged the sale and financing of Parkwood, a 221-unit affordable multifamily property in Falls Church, Va., for $34.4 million.
A low-income housing tax credit (LIHTC) development, Parkwood offers one- and two-bedroom floor plans for households earning no more than 60% of the area median income The property is situated in the desirable Washington-Arlington-Alexandria metropolitan statistical area and benefits from its proximity to the region’s larger cities, including Washington, D.C., which is just 25 minutes east.
The buyer is MRK Partners in Manhattan Beach, Calif.
Jim Flinn, senior vice president of CBRE Affordable Housing’s Debt and Structured Finance team, secured $30 million in acquisition financing utilizing the Freddie Mac Bridge-to-Resyndication loan program. The loan product allows the borrower to use the Freddie Mac Bridge ARM to purchase the property and then, within 30 months, arrange a new round of 4% LIHTCs in conjunction with the Freddie Mac Tax Exempt Loan in order to start substantial rehab on the subject property, said CBRE.
“Working closely with CBRE Affordable Housing’s Investment Sales and leveraging our agency knowledge, our lending team was able to secure a waiver to allow a 30-month bridge term, as well as quickly alleviate environmental concerns at the property,” Flinn said in a statement.
Jeff Kunitz, executive vice president of CBRE Affordable Housing, and Jonathan Greenberg, senior vice president of CBRE Washington D.C. Multifamily, represented the seller in the transaction.
CBRE Affordable Housing is a specialty group within CBRE Group that combines investment sales, debt and structured finance, and investment banking into a fully integrated service for the affordable housing industry. It has closed over $14 billion in sales and financing since 2001 and has conducted transactions in all 50 states and Puerto Rico.