Berkadia Secures $56 Million in Construction Financing for Multifamily Property in Colorado
DENVER – April 21, 2023 – Berkadia today announced the construction financing secured for The Granary, a garden-style multifamily property in Fort Collins, Colorado. Managing Director Jennifer Quigley of Berkadia Denver secured the $55.99 million in permanent construction financing on behalf of the borrower, Colorado-based Fairway Apartments, LLC. The deal closed on April 20.
The 221(d)(4) 40-year construction loan, financed through HUD’s Green Program, features a 5.10 percent interest rate.
“I am fortunate to have clients that after working together for half our careers have become good friends and their projects like The Granary become a labor of love,” said Quigley. “We’ve experienced increased rental housing demand in the front range of Colorado as well as strong rent growth which helps to support these kinds of developments in the face of ongoing construction cost increases. With the run up of interest rates in 2022, we were certainly glad to be able to lock a fixed rate non-recourse construction loan for this valued client at a rate almost as low as 5 percent.”
“We are excited to commence the construction of The Granary,” said Ryan Will, Principal of Keystone Real Estate, which is developing the Granary in a joint venture with Jensen LaPlante Development. “Fort Collins is in significant need of rental housing and The Granary will provide an additional high quality housing option for the residents of Fort Collins.”
Located at the intersection of West Fairway Lane and South College Avenue in Fort Collins, The Granary will include 264 residential units. Once complete, the project will feature a clubhouse with fitness center, coworking lounge with private offices, game room, community kitchen, resort-style swimming pool with sun deck, picnic/barbeque areas, electric car charging stations, car care station, playground/tot lot, dog park, pet wash station, bike/ski shop, and an on-site management office. The community will include 36 studios, 94 one-bedroom, 104 two-bedroom units, and 30 three-bedroom units. The clubhouse and first units will be completed in late spring 2024 and construction on the entire community is set to be completed by December 2024. The general contractor for The Granary is Shaw Construction, and Infusion Architects is the architect of record.