Permanent Financing Positions Historic Adaptive Reuse Urban Loft Developer for Next Phase of Legacy Hold; Attractive Agency Financing Includes Interest-Only Period and Seven-Year Term
Tacoma, Wash. (February 23, 2022) – Gantry, the largest independent commercial mortgage banking firm in the U.S., has secured a $13.3 million permanent loan to refinance the Brewery Lofts, a 49-unit, 7-story luxury urban multifamily adaptive-reuse development completed in 2019. The project is part of the Brewery Blocks District redevelopment spanning two city blocks beginning at S. 21st Street and stretching between C Street and Commerce Street.
Gantry’s Mike Wood, Principal, and Alex Saunders, Associate, with the firm’s Seattle office secured the financing on behalf of the borrower, who is a private owner. The seven-year loan was provided by Fannie Mae via Walker & Dunlap and features a sub-3.65% rate with interest-only payments for the first three years of the term, transitioning to 30-year amortization.
According to Gantry’s Mike Wood, “Multifamily assets are in a favored position today with a variety of lenders in what remains, for the time being, a sustained period of generationally low interest rates that make refinancing extremely attractive in today’s marketplace. Gantry’s role as an advisor to our clients, is to vet current commercial mortgage options across the spectrum of life company, bank, credit union, CMBS, debt fund and agency sources, and then secure the most relevant loan to meet the property sponsor’s investment goals. For refinancing high quality assets like the Brewery Lofts, an adaptive reuse development project which has seen tremendous success in stabilizing occupancy since its introduction in 2019, we are seeing competition from multiple lending sources. For this asset, this long-term agency loan featuring an attractive rate with an interest only component to enhance operating cash flows at the front end of the term resulted in the preferred outcome for our client’s continued ownership goals.”
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 90 professionals in regional offices throughout the western United States and in New York. The company’s national servicing platform valued at nearly $17 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.