SAN FRANCISCO, CA - Gantry, the largest independent commercial mortgage banking firm in the U.S., has secured $29.3 million of financing for the acquisition of the 168-unit Cala Paradise Valley apartments. The garden style complex is located on Paradise Village Parkway S., near major retailers including Super Target, Sprouts, Trader Joe’s, Safeway, Costco, and T.J. Maxx. The subject is also within walking distance to Paradise Valley Mall which is undergoing a significant reposition. Originally constructed in 1984, Cala at Paradise Valley has recently undergone a partial renovation of unit interiors. The borrower intends to renovate the balance of the unit interiors while also upgrading the exterior and common area amenities.
Gantry’s Adam Parker, Principal and Chad Metzger, Senior Associate, with the firm’s Phoenix production office secured the financing on behalf of the borrower, a private real estate partnership. The seven-year fixed rate loan was provided by Freddie Mac, with terms featuring a sub 5% interest rate and an upfront interest only period that transitions to a 35-year amortization for the remainder of the loan.
According to Gantry’s Adam Parker, “There is no doubt that rate volatility, inflation, and macroeconomic forces have put new pressures on the multifamily investment marketplace this year, but for experienced sponsorship, solid loan options remain available, particularly where a strong repositioning can add new value. Rate locks are the key to getting transactions done in an ever-changing marketplace. This Sponsor was able to take advantage of Freddie Mac’s index lock program at the signing of the loan application which allowed us to process the loan for 48 days without worrying about the increasing interest rate environment.”
About Gantry: Gantry, a privately held company headquartered in San Francisco, is a full-service mortgage banking firm with an extensive lineup of correspondent lenders utilizing Gantry’s production, closing, and servicing capabilities. Established in 1991, Gantry is currently staffed by nearly 100 professionals in regional offices throughout the western United States and in New York with over 45 production teams that originated over $5.1 Billion in 2021, with 2022 production already surpassing $3.0 Billion YTD. The company’s national servicing platform of over $18 billion represents more than 2,100 loans located in 43 states. Gantry is rated as a Primary Servicer by Standard & Poor’s and is one of a select few non-banking/non-insurance-chartered companies with this designation. For more information, please visit gantryinc.com