Despite and Because of COVID, Developers Continue to Crank Out Multifamily
Millennium at Hometown is a soon-to-be-completed class-A multifamily project comprising 306 apartments and 11,697 square feet of retail located at 6021 Parker Blvd., with construction nearing completion in late 2020.
NORTH RICHLAND HILLS, TX—Millennium at Hometown is a soon-to-be-completed class-A multifamily project comprising 306 apartments and 11,697 square feet of retail located at 6021 Parker Blvd. Construction is nearing completion with the first building projected to provide a temporary certificate of occupancy in December 2020.
JLL Capital Markets arranged $49.1 million refinancing for the project, working on behalf of the borrower Sovereign Properties to secure the floating-rate loan with Asia Capital Real Estate/ACRE. JLL’s capital markets team representing the borrower was led by senior managing director Greg Nalbandian and director Jesse Wright.
“This was a hotly contested assignment with considerable lender interest despite being marketed during the height of COVID,” Nalbandian tells GlobeSt.com. “Well-located multi-housing projects backed by strong sponsorship continue to be the most sought-after projects with lenders today.”
The fact that the bridge loan was signed during the peak of the pandemic illustrates the strength of the multifamily capital markets and the liquidity that continues in this sector for well-conceived projects during highly challenging macro climates, according to JLL.
“We pride ourselves on our ability to provide institutional developers the liquidity needed to execute on their business plans, especially in tough market environments,” said Daniel Jacobs, head of origination at ACRE. “JLL was instrumental in structuring this deal and we are confident that it will set Sovereign Properties up for success at Millennium Hometown.”
The development is in the North Richland Hills submarket at the intersection of Grapevine Highway and Precinct Line Road. This submarket has recorded a total rent growth of 30% since 2010, all while maintaining average occupancy of 94%. In addition, the area has become an active employment hub with more than 70,000 residents, 1,200 businesses and 30 major employers including a surge in headquarter selections from companies such as Tyson and XPO Logistics.