Monthly Archives: February 2018

Fannie Mae Financing Provided for Houston Multifamily Property

Q10 KDH Vice President, Larry Peters arranged Fannie Mae DUS financing for a multifamily property located in Houston, Texas.

The financing provided our client two years of interest only and a floating rate with flexible prepayment. The asset received a seven year term and a low interest rate in the mid 3% range.

“The asset was located outside the Houston MSA and many lenders were more conservative due to the location. Our job is to educate the lender and show them the value of looking at the opportunity from a perspective that others don’t. We were able to accomplish the borrower’s wishes by delivering a higher LTV than what the majority of the market was comfortable in quoting but maintain the aggressive pricing that is available for multifamily assets in the market today.” – Larry Peters

Class A Mixed Use Retail Property Financed in Houston

 

Ray Driver, Matt Franke & Adam Unger of Q10 KDH arranged financing for Boardwalk at Towne Lake.  Boardwalk is a class A mixed use property located in the northwest region of Houston, TX.

Long term fixed rate financing was provided by Q10 KDH correspondent lender, Thrivent Financial.  The asset spans over 124,800 square feet for retail, restaurant, and office use.

“KDH has a long relationship with Caldwell Companies, and we’ve witnessed their Towne Lake master planned development blossom since the project’s initial inception.  The financing assignment was very specific, and we surveyed a broad spectrum of prospective lenders including banks, private lenders, debt funds and life insurance companies.  Working with the borrower, we filtered numerous competitive loan proposals and ultimately selected our correspondent lender, Thrivent Financial, based upon their combination of rate, loan term, and prepayment flexibility.  Caldwell secured an early rate lock when the application was signed, and together we processed the loan as a team.  Our borrower benefits from a long term  fixed rate loan and Thrivent is comfortably secured by the regions’ premier mixed use development.” – Matt Franke

Interest Rates Rise to the Occasion

The Q10 KDH team will be attending the Mortgage Bankers Association’s (MBA) CREF18 convention Feb.10-13 in San Diego. We will be meeting with dozens of capital providers who continue to have a strong interest in the Texas markets.

Based on reports from top economic forecasters, interest rates are on the rise as we have already seen a considerable increase in treasury rates in the last 60 days. A recent study by JP Morgan Chase estimated that the Fed will increase rates four times in 2018. Q10 KDH clients are locking rates on longer fixed rate products for immediate funding and forward commitments up to 12 months. Please contact any of our production officers  to review current or future investments.