Groton, CT Fantini & Gorga has placed $38 million in permanent financing on Country Glen Apartments, a 324-unit multifamily community on a 30-acre campus.
“We were able to secure significant cash-out proceeds for the owners through our correspondent lender’s dexterous use of the Federal Housing Administration’s 223(f) permanent financing program” said Fantini & Gorga executive managing director Tim O’Donnell. This was “coupled with additional financing for upgrades and/or repairs within a low-rate long-term fixed-rate loan. We expect the high degree of stability provided by these favorable terms to serve as a bedrock for continued success for years to come.”
The loan was placed with Fantini & Gorga’s correspondent lender, Eastern Mortgage Capital, which structured the transaction using Section 223(f) mortgage insurance provided by the FHA. As with all EMC loans, this loan type is non-recourse with no carve-outs, and assumable and has a prepayment structure that avoids yield maintenance or defeasance.