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BWE Secures Over $40 Million in Capital to Refinance and Preserve Affordable Housing in Texas, Maryland and Tennessee

Bellwether Enterprise Real Estate Capital LLC (BWE), a national commercial and multifamily mortgage banking company, announced today the closing of five loan deals totaling over $40 million to refinance and preserve two affordable housing complexes in Mt. Vernon, TX, and Silver Spring, MD, as well as three affordable senior living communities in Nashville, TN, Baltimore, MD, and Pikesville, MD.

Jon Killough, Executive Vice President in BWE’s Montgomery, AL, office, and John Roberts, Vice President in the firm’s Dallas, TX, office, originated the Mt. Vernon and Nashville deals and Victor Agusta, Executive Vice President in BWE’s Raleigh, NC, office, originated the Maryland loans.

“From families to seniors, everyone deserves an affordable place to call home, and BWE is proud to bring additional financing to these five properties to ensure they remain accessible to lower-income households for years to come,” said Agusta. “Despite the challenges of the current economic environment, BWE will continue to build strong relationships with partners across the country so we can continue to create and preserve enough affordable homes to meet the growing need.”

The five properties are:

·       Nashville Christian Towers (101 Foothill Court, Nashville, TN), a $21,000,000 bridge loan originated on behalf of Envolve Communities to acquire and finance a 175-unit affordable seniors housing development. Envolve plans to redevelop the property utilizing proceeds from a 4% Low-Income Housing Tax Credits (LIHTC) execution coupled with tax-exempt bonds, and the bridge loan will help position the property for renovation and the planned LIHTC execution. The property benefits from a 100% Project Based Rental Assistance contract.  The financing was a loan participation between BWE and Enterprise Community Loan Fund, an affiliate of Enterprise Community Partners.  The bridge loan has a 12-month term with an available 12-month extension, with interest only payments during the term of the loan.

·       Logan’s Pointe (101 Logan’s Pointe Drive, Mt. Vernon, TX), a $7,600,000 direct bond purchase originated on behalf of Envolve Communities to finance the acquisition, rehabilitation and permanent financing of a 100-unit LIHTC garden-style apartment complex. Made up of 25 two-story buildings, the complex includes a fitness center, laundry facility, pool and playground. 90% of the units will be available to households earning 60% of the area median income (AMI), and the remaining 10% will be available to families earning 50% AMI. The direct bond purchase includes a 17-year fixed-rate term with two years of interest-only payments during the stabilization period and a 40-year amortization.

·       515 Thayer (515 Thayer Avenue, Silver Spring, MD), a $6,772,000 Freddie Mac tax-exempt loan originated on behalf of Montgomery Housing Partnership to finance the renovation and preservation of a 55-unit affordable housing complex. The community includes 48 apartments affordable to families earning up 50% and 60% AMI, as well as seven market-rate units. Enterprise Community Partners provided $5.3 million of LIHTC equity to the project, which also received funding from the State of Maryland and Montgomery County. The complex will benefit from a new payment-in-lieu-of-taxes agreement with the State, and five units will have project-based HAP contracts. The loan includes a 17-year term with a 40-year amortization.

·       St. Charles House (11 North Church Lane, Pikesville, MD), a $1,739,000 FHA 223(f) loan originated on behalf of Catholic Charities of Baltimore to refinance and preserve a 24-unit, Section 202 senior housing community. All units will be affordable to seniors earning up to 50% AMI. In addition to providing financing to make necessary capital improvements to the property, the HAP contracts will also be renewed for 20 years. The loan includes a 35-year term with a 35-year amortization.

·       Coursey Station (200 1st Avenue, Baltimore, MD), a $3,126,000 FHA 223(f) loan originated on behalf of Catholic Charities of Baltimore to refinance and preserve a 49-unit, Section 202 senior housing complex. The apartments will be affordable to seniors earning up to 50% AMI. The refinancing helped provide for capital improvements and allowed for the extension of the HAP contracts for an additional 20 years. The loan includes a 35-year term with a 35-year amortization.

BWE provides flexible financing solutions for clients covering the entire spectrum of commercial and multifamily real estate. For more information on BWE’s services, visit us at: https://www.bwe.com/.

BWE is a national, full-service commercial and multifamily mortgage banking company. Partnering with Enterprise Community Partners, Inc., BWE has production offices across the country and an integrated servicing platform based in Cleveland. With local market expertise, national lending relationships and financing structure experience, we provide clients with competitive, creative solutions for their financing needs. BWE provides loans for a range of institutional investors including life insurance companies, pension funds, commercial banks and CMBS lenders and is a Fannie Mae Delegated Underwriting and Servicing (DUS®) lender, Freddie Mac Optigo™ seller/servicer for Conventional and Targeted Affordable Housing Loans, Federal Housing Administration (FHA) approved Multifamily Accelerated Processing (MAP) lender and U.S. Department of Agriculture (USDA) Section 538 Rural Development lender.

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