$7,900,000 Construction Financing of a Multifamily Property in Los Angeles, California.
FINANCED Western Apartments
Property Type: Multifamily
Lender: Bank Location: Los Angeles, CA Size: 24,130 SF Term: Interest-only, 63% LTC, 24-month loan
Michael Warner of PSRS arranged the $7.9 million construction financing loan for a ground-up, 51-unit apartment building with eight designated affordable units. This development is part of the Transit Oriented Communities (TOC) Affordable Housing Incentive Program. Passed by voters in 2016, Measure JJJ created a package of new incentives for building affordable housing near public transit. The development was designed by Mobbil Inc., a firm specializing in design-build housing projects and committed to hashtag#buildingabetterday in the Los Angeles area. The 24,130 square-foot property was approved without on-site parking but will bring affordable housing to the area. The site is within a 300-ft radius of major public transportation. The lack of parking proved challenging in obtaining market-rate financing for the developers. Despite this challenge, PSRS was able to arrange financing with a local bank. PSRS provided its borrower with a construction loan with prime-based interest-only payments, 63% LTC, and a 24-month term.
About PSRS Founded in 1972, PSRS is a commercial mortgage banking firm that helps real estate investors of all sizes structure and secure financing solutions that align with their investment goals.
