WASHINGTON D.C. – October 1, 2020 – Berkadia announced today the $54.4 million in financing secured for Monument Village at College Park, a Class-A, multifamily property in College Park, Maryland. Managing Director Laura Smith and Associate Director Rossana Bouchaya of Berkadia’s D.C. Metro office secured the loan on behalf of the borrower, Maryland-based Foulger-Pratt. The deal closed on August 28.
The HUD 223(F) loan features an interest rate in the low two’s and 35-year non-recourse financing at 100 percent of closing costs.
“This project was acquired by our client back in February and we were able to provide a short-term bridge loan using Berkadia’s proprietary bridge lending program and close on a HUD take-out loan within six months of purchase. The use of third-party reports and the same legal teams for both loans created ‘economies of scale,’ reducing costs for both transactions,” said Smith. “This is also one of the first projects closed under HUD’s new Three-Year Rule Notice H2020-03, issued in March which allows projects with final C of O’s issued within three years of submission to qualify for financing!”
Joe Clauser, Vice President of Acquisitions at Foulger-Pratt added, “We are extremely pleased with the diligent efforts by both the Berkadia and HUD teams to get the loan closed on schedule and with better terms than we ever anticipated.”
Located at 9122 Baltimore Ave., Monument Village at College Park features studio, one- and two- bedroom floor plans with hardwood-style flooring, granite countertops, stainless steel appliances, walk-in closets and keyless entry doors. Community amenities include a resort-style pool, a lounge, a fitness center, a yoga room and a pet spa. Residents are afforded convenient access to The University of Maryland College Park, a variety of retail destinations and Interstate 495.
In February 2020, Berkadia provided a $53 million bridge loan to Foulger-Pratt for this property. Additional details around that transaction can be found here.