TUCSON, Ariz. and IRVINE, Calif. – August 24, 2018 – Berkadia today announced $43 million in sales and the $30 million financing of Hacienda del Rio and Colonia del Rio, two garden-style multifamily properties in Tucson, Arizona. Senior Managing Director Art Wadlund and Director Clint Wadlund of the Tucson office completed the sales on behalf of the buyer, Salt Lake City-based Millburn & Company, and the seller, San Diego-based MG Properties Group. Managing Director David Bleiweiss and Senior Analyst Jack Hunsicker of the Irvine, California office secured the loan through Freddie Mac. The deal closed on August 22.
The seven-year adjustable interest rate loan features an initial three-year interest-only period, a 30-year amortization schedule and a 70 percent loan-to-value ratio.
“The buyer was attracted to the property due to the quality location, combined with the ability to upgrade the interiors of the units,” said Art Wadlund.
“The buyer will operate the two adjacent properties as one asset going forward,” said Bleiweiss. “The initial three-year interest-only period, the borrower’s value-add business plan and the forecasted economies of scale will allow the borrower to grow the net operating income and receive a growing return on their investment.”
Located at 4545 and 4601 N. Via Entrada, Colonia and Hacienda del Rio offer one-, two- and three-bedroom floor plans with walk-in closets, pantries, open breakfast bars, garbage disposals and dishwashers, central air conditioning and heat and ceiling fans. Select units have washers and dryers as well as wood-burning fireplaces. Residents of both properties have access to two pools, two 24-hour laundry facilities, a play area, a dog park, a business center, barbeque grills and picnic tables, 24-hour emergency maintenance and a clubhouse with a kitchen, a pool table and flat-screen televisions. The property is less than seven miles from downtown Tucson and is easily accessible via Arizona State Route 77.