Centerline Capital Group Refinances a Multifamily Property in Hampton, Virginia
— Total funding equals $7.75 million—
New York, NY — March 6, 2013— Centerline Capital Group (“Centerline”), a provider of real estate financial and asset management services for affordable and conventional multifamily housing, and a subsidiary of Centerline Holding Company (OTC: CLNH), announced today it has provided a $7.75 million Fannie Mae first lien mortgage to refinance the Derby Run Apartments, a multifamily facility located in Hampton, Virginia.
Located at 6 Derby Drive, Derby Run Apartments is an affordable property that consists of 160 garden-style apartments housed in 14 buildings. Built in 1994, the buildings are two- and three-story walk-up, with brick and vinyl siding and pitched asphalt roofs. The property also includes a single-story clubhouse, outdoor pool and leasing office.
Derby Run Apartments is a phased asset. Phase I has street frontage and sits directly in front of Phase II, which holds all of the amenities including the pool and clubhouse.There is a Declaration of Cross Easement Agreement between the phases, which allows tenants, guests, etc. passage across Phase I in order to access Phase II.
The borrower is Derby Run Associates, L.P., and the key Principals/Guarantors for this transaction are Ronald C. Ripley, F. Scott Ripley and F. Andrew Heatwole.
“The sponsors of this deal are repeat Centerline customers with solid real estate experience and well performing multifamily and commercial real estate portfolios. Combined, the Guarantors have over 100 years of real estate experience,” noted Suzanne Cope, SVP of Debt Originations at Centerline Capital Group. “In addition, Derby Run Apartments is a well-maintained multifamily property with a very high average occupancy rate of 94%. These factors, combined with deal’s solid real estate fundamentals, and the borrower’s relationship with Centerline made this a solid deal for Centerline.”
The City of Hampton is located approximately 77 miles southeast of Richmond, Virginia, 180 miles southeast of Washington, D.C. and 200 miles northeast of Raleigh, North Carolina. Hampton is an independent city and the sixth most populous city in Virginia. In addition, Derby Run Apartments is located in a mixed use neighborhood with well-maintained adjacent properties and easy access to major roadways and employment centers.
Additional property amenities include a playground, community room, central laundry facility and a total of 338 surface parking spaces.
Centerline is a Fannie Mae DUS lender, Freddie Mac seller-servicer, FHA-approved mortgage provider and source for other forms of debt and equity.
About Centerline Capital Group
Centerline Capital Group, a subsidiary of Centerline Holding Company (OTC: CLNH), provides real estate financing and asset management services focused on affordable and conventional multifamily housing. We offer a range of both debt financing and equity investment products, as well as asset management services to developers, owners, and investors. An industry leader, Centerline is structured to originate, underwrite, service, manage, refinance or sell through all phases of an asset’s life cycle. A leading sponsor of Low-Income Housing Tax Credit (LIHTC) funds, Centerline has raised more than $10 billion in equity across 137 funds, and invested in over 1,600 assets spanning 47 states. The firm’s multifamily lending platform services more than $11.5 billion in loans. Founded in 1972, Centerline is headquartered in New York City, with 246 employees in ten offices throughout the United States. A strategic partner of Island Capital, Centerline is organized around four business units: Affordable Housing Equity, Affordable Housing Debt, Mortgage Banking and Asset Management. To learn more about Centerline, visit www.centerline.com.