|
7/01/16
|
Capital One has provided $60.8 mil in Fannie Mae structured adjustable-rate (SARM) loans to refinance four manufactured housing communities (MHCs) in California. The 10-year SARM loans have a three-year interest-only period followed by amortization on a 30-year schedule.
The borrower is Kort & Scott Financial Group. The company is using the proceeds from this transaction to retire existing debt and maintain and upgrade the properties.
The transactions included: a $23.5 mil loan for Blue Star Mobile Home Community, a 186-space community in Sylmar; an $11.2 mil loan for Lamplighter Mobile Home Community, a 173-space community in North Highlands; a $10.3 mil loan for Reseda Mobile Home Community, a 108-space community in Reseda; and a $16 mil loan for Vista Diablo Mobile Home Community, a 150-space community in Antioch.
All four MHCs were built in the 1960s and 1970s and have been well maintained. They have high occupancy rates, with Reseda reaching 100 percent. The Reseda and Vista Diablo MHCs are 55+ communities, and Vista Diablo operates under a Home Rent Subsidy Agreement with the Antioch Development Agency.
Capital One’s Chad Thomas Hagwood originated the transaction and Brandon Pate of Hagwood’s team managed the deal. Hagwood leads Capital One Multifamily Finance’s Southeast region out of the Birmingham, AL office.
The borrower, the Kort & Scott Financial Group, has an 18-plus year relationship with Hagwood and has completed multiple transactions with Capital One. Based in Anaheim, Kort & Scott specializes in buying and managing MHCs across the United States, acquiring over 9,500 mobile home spaces since 1989.
|
|
Return to the Archive page
|
|
|
|
|