Walker & Dunlop structures $145M for Utah multifamily properties

Daily Record Staff//January 21, 2021//

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Bethesda-based commercial real estate finance company Walker & Dunlop, Inc. Wednesday announced it structured $41.4 million in financing for Boulder Canyon Apartments in West Jordan, Utah, $43.8 million in financing for Canyon View Apartments in Orem, Utah, and $60.27 million in financing for the construction of Sugar Alley Apartments in Salt Lake City, Utah.

Led by Senior Director Jeff Kearns and Managing Director Greg Richardson, Walker & Dunlop arranged the financing on behalf of the borrower and developer, Eight Bay Advisors. The team utilized the U.S. Department of Housing and Urban Development’s (HUD) 223(f) refinance program to pay off the existing debt on both Boulder Canyon and Canyon View, enabling the borrower to make immediate and short-term repairs on the properties, as well as sufficiently fund the replacement reserve for future repair needs.

For Sugar Alley Apartments, Walker & Dunlop structured the debt through HUD’s 221(d)(4) new construction program, which includes both construction and permanent financing in a single loan. Due to the building’s Energy Star qualification, the team was also able to secure a favorable interest rate for the borrower, leveraging the agency’s green mortgage insurance premium (MIP) reduction program.