BETHESDA, MD-A life company is providing $47 million in refinancing to an apartment building here. Phil Mudd and Christian Miles of Cassidy Turley secured the 10-year, fixed-rate loan for an LLC that owns The Whitney at Bethesda Theatre residences. The company plans to use the proceeds to pay down existing debt.
It was significant that a life company won the deal as both Fannie Mae and Freddie Mac were competing for it as well, Mudd tells GlobeSt.com. “The agencies were pretty aggressive but the life company looked at the asset and decided it really wanted it, so it bid to win,” he explained. Pricing was sub 5, Mudd says.
Agencies are offering similar pricing, he acknowledged, but when all other factors are equal most borrowers prefer conventional loans because the execution is easier.
The Whitney is a class A luxury complex consisting of 205 tower apartment units, 39 villa residences and nine townhouses. It also has very strong management, Mudd says. “The complex is several years old but looks brand spanking new.”
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Erika Morphy
Erika Morphy has been writing about commercial real estate at GlobeSt.com for more than ten years, covering the capital markets, the Mid-Atlantic region and national topics. She's a nerd so favorite examples of the former include accounting standards, Basel III and what Congress is brewing.
