New York, NY – June 25, 2015 – (RealEstateRama) — Hunt Mortgage Group, a commercial real estate lender, announced today that it has provided a Fannie Mae loan in the amount of $6.4 million to finance the acquisition of a student housing property located in Ames, Iowa.
South Meadow Apartments is a 182-unit apartment complex that is located on the campus of Iowa State University. The property consists of seven, two- and three-story buildings and the unit mix is 148 one-bedroom, one-bathroom apartments, 15 two-bedroom, one-bathroom units, and 19 three-bedroom, one-bathroom units.
“South Meadow Apartments is a quality student housing property,” commented Josh Messier, Vice President at Hunt Mortgage Group. “ISU has an enrollment of nearly 30,000 and is considered a prime market for national and regional student housing among multifamily investors. Enrollment has increased significantly in recent years and is currently at record levels. In addition, South Meadow Apartments is 100% occupied and has been for three consecutive semesters. The property is also fully pre-leased for the 2015-2016 school year.”
The borrower is South Meadow Co-Op, Inc., backed by Daniel Joseph, Hagan Brown and David Raisner. The loan has a seven-year term that will amortize over 30 years.
“The sponsors have diverse commercial real estate backgrounds as investors and entrepreneurs,” added Messier. “Furthermore, they are repeat clients of Hunt Mortgage Group and well established owner/operators of student housing properties at Iowa State. This made for an efficient underwriting and closing process in a volatile interest rate environment. We were pleased to facilitate the acquisition of this prime piece of real estate.”
Property amenities include common laundry areas with coin operating washers and dryers and each building has a courtyard with a picnic table and BBQ. Five of the seven buildings have carports available for rent and there is storage available on the lower level of these buildings. South Meadow Apartments has a total of 108 carports and 150 open parking spaces.