Greystone provided a $26.65 million Fannie Mae DUS® loan in combination with $5.35 million in preferred equity from New York Mortgage Trust, Inc., for the acquisition of Autumn Park, a 358-unit multifamily property in Newark, Delaware. The transaction was originated by Keith Hires of Greystone’s Atlanta office with Ryan Ade and Neil Campbell of HFF as correspondents on the deal.
The Fannie Mae DUS loan includes a 7 / 6 adjustable rate at 3 years of interest-only and a 30-year amortization. Autumn Park is a garden-style community comprising 1-, 2-, and 3-bedroom apartments with a pool, located within easy access to I-95 and downtown amenities.
During the underwriting process of the loan for Autumn Park, Greystone overcame a number of unique environmental challenges, including issues with an unprecedented number of underground storage tanks. Greystone worked with the State of Delaware Department of Natural Resources and Environmental Control to resolve the issue in order to deem the property environmentally sound. The loan presented other complex underwriting challenges, which Greystone worked with Fannie Mae to resolve.
“The environmental challenges we encountered with underwriting this property posed a number of obstacles, but Fannie Mae was incredibly responsive to the immediate action the new owner took to comply with Delaware’s standards,” said Mr. Hires. “Our long-standing relationship with Fannie Mae enabled us to navigate these challenges while giving the borrower the best possible outcome, and it was a pleasure working with Steve Brannan at NYMT to round out the financing.”