$60.8 Million – California
CAPITAL ONE CLOSES FANNIE MAE LOANS TOTALING $60.8 MILLION TO REFINANCE CALIFORNIA MANUFACTURED HOUSING COMMUNITIES
June 27, 2016, Bethesda, MD — Capital One announced today that it has provided Fannie Mae structured adjustable-rate (SARM) loans totaling $60.8 million to refinance four manufactured housing communities (MHCs) in California. Senior Vice President Chad Thomas Hagwood originated the transaction and Brandon Pate of Hagwood’s team managed the deal. Hagwood leads Capital One Multifamily Finance’s Southeast region out of the Birmingham, Alabama, office, and is one of the most experienced MHC originators in the industry.
The 10-year SARM loans have a three-year interest-only period followed by amortization on a 30-year schedule.
The borrower, the Kort & Scott Financial Group, has an 18-plus year relationship with Hagwood and has completed multiple transactions with Capital One. Based in Anaheim, Calif., Kort & Scott specializes in buying and managing MHCs across the United States, acquiring over 9,500 mobile home spaces since 1989. The company is using the proceeds from this transaction to retire existing debt and maintain and upgrade the properties.
“We appreciate Kort & Scott Financial Group’s vote of ongoing confidence, and we look forward to continuing our productive relationship with them,” said Mr. Hagwood.
Capital One provided a $23.5 million loan for Blue Star Mobile Home Community, a 186-space community in Sylmar; an $11.2 million loan for Lamplighter Mobile Home Community, a 173-space community in North Highlands; a $10.3 million loan for Reseda Mobile Home Community, a 108-space community in Reseda; and a $16.0 million loan for Vista Diablo Mobile Home Community, a 150-space community in Antioch.
All four MHCs were built in the 1960s and 1970s and have been well maintained. They have high occupancy rates, with Reseda reaching 100 percent. The Reseda and Vista Diablo MHCs are 55+ communities, and Vista Diablo operates under a Home Rent Subsidy Agreement with the Antioch Development Agency.
Capital One Multifamily Finance is a leader in providing creative and timely financing solutions to the MHC industry nationwide. With specialized expertise in Agency finance—including Fannie Mae, Freddie Mac and FHA—the Multifamily team is uniquely positioned to provide borrowers with the best possible solutions for their evolving needs.
“The Capital One CRE team consistently demonstrates expertise and passion—that commitment translates into creativity, responsiveness, and optimizing the timing and structure of each transaction.”
Michelle Lord, Vice President of Capital Markets, Fairfield Residential Company LLC
*Beech Street is now Capital One Multifamily Finance and our commitment to customer service is even stronger.
Capital One Multifamily Finance is distinguished by its ability to structure multifamily mortgages customized to the precise needs of its clients. We are a Fannie Mae DUS® lender, a Freddie Mac lender, and a FHA HUD lender. Plus, we offer balance sheet financing backed by the full strength of Capital One Commercial Banking. You can count on our team of multifamily mortgage makers to deliver apartment financing smoothly, quickly, and with certainty.