LOS ANGELES—TruAmerica Multifamily has secureda $156 million in acquisition financing to purchase a six-propertymultifamily portfolio in Oregon and Washington. Inan earlier story, GlobeSt.com reported that TruAmericapurchased the portfolio, which also included a seventhproperty in Salt Lake City, for $255 million. Now, we have learnedexclusively that the investor also financed a portion of thepurchase, nabbing interest rates as low as 2.6%. Although we are ina low interest rate environment, these extremely low rates areindicative of TruAmerica's reputation for performance.

“TruAmerica has a lot of respect in the lending community. Givenits volume, track record and reputation, TruAmerica gets veryattractive debt terms,” Brian Eisendrath, vicechairman at CBRE capital markets, tellsGlobeSt.com. “The goal on the financing side was to find a one-stopshop that could really handle the debt of the individualproperties' specific business plans. On some of these properties,they wanted prepayment flexibility in the event that they decidedto sell, and in other assets, they wanted a medium duration. It wasimportant, too, to incorporate interest only as they wantedincrease cash flow to investors.” Eisendrath secured the funds onbehalf of the borrower along with his colleague CameronChalfant.

For three of the properties in the portfolio, CBRE secured aseven-year fixed-rate loan with three years interest only at ablended rate of 3.8%. The remaining two properties have a floatingrate interest-only loan with a 2.6% starting rate. The CBRE teamwas able to increase proceeds for $5 million from the time of theapplication to closing, which helped to further drive returns toTruAmerica's investors. The lender was not disclosed.