The Phoenix office of Berkadia Commercial Mortgage LLC (Berkadia) recently negotiated the financing and acquisition of Sierra Ranch Apartments, a multifamily property located in Phoenix. Senior Vice President Charlie Williams worked with the borrower to secure a $21.5 million, 10-year, fixed-rate acquisition loan through a life company correspondent, while Senior Partner Mark Forrester and Partner Ric Holway facilitated the $48 million transaction.
Built in 1984, Sierra Ranch Apartments consists of 582 one- and two-bedroom units. Amenities include a pool, spa, fitness center and basketball, tennis and racquetball courts. It is situated on 17 acres of land at 4722 East Bell Road in Phoenix, convenient to retail and employment hubs in Phoenix and Scottsdale. At the time of sale, the property was 95 percent occupied.
“The combined experience of our investment sales and mortgage banking professionals was essential in both executing the sale and securing the loan on the client’s timeline,” said Forrester. “The buyer was particularly interested in the multifamily asset given the large property’s economies of scale and location at the Phoenix and Scottsdale border. With heavy Class A concentrations of apartment product in the surrounding area, the attractive, well-maintained Class B properties have limited direct competition, offering a unique and attractive investment for our clients.”
“In order to facilitate the financing side of this transaction, we quickly marshaled our resources to launch third-party reports, complete lender committee prep work, coordinate inspections and facilitate a defeasance process,” added Williams. “As a result, we successfully identified a lender capable of accommodating a close of escrow date within 30 days of assignment.”