CHICAGO – January 28, 2021 – Berkadia today announced $39.1 million in combined HUD-insured financing secured for Covington Place Apartments and Cape Cod Village Apartments. The properties are both market-rate, garden-style multifamily properties located in Missouri and Illinois. Managing Director Paul Matusiak of Berkadia’s Chicago office arranged the HUD Section 223(a)7 multifamily loans on behalf of the sponsor, Missouri-based Stewart Properties. In addition to lowering the properties’ annual debt service, Berkadia also evaluated their eligibility under HUD’s Green/Energy Efficient Mortgage Insurance Premium.
“Regional HUD offices have been experiencing a record volume of applications given the low interest rate market. The level of volume has provided significant delays to many HUD applications around the country, but our long-standing relationships with the local HUD offices allowed us to communicate effectively, accelerating us through any delays, and allowing us to hit our expected closing timeline,” Matusiak said.
Covington Place Apartments, located at 1247 Covington Manor Lane in St. Louis, Missouri, is a 400-unit complex, operating at 99 percent occupancy, with community amenities including a fitness center, a swimming pool and a playground. In addition to the major retailers within the area, residents enjoy the luxuries of Downtown St. Louis as the apartments are just 12 miles south of the city. The refinance closed on December 16, 2020.
Cape Cod Village Apartments is located at 2010 W Jackson Street in Morton, Illinois and is a 200-unit property, operating at 95 percent occupancy, with community amenities including a swimming pool and several walking trails. Residents are afforded convenient access to Peoria Zoo, Peoria Riverfront Museum and the Luthy Memorial Botanical Gardens. The refinance closed on December 29, 2020.