Published on: 08 May 2020
The Memphis office of Financial Federal Bank has arranged $109,427,000 of financing during the first quarter of 2020 for seven commercial multifamily developments across Memphis as well as in Harrisonburg, Virginia and an industrial portfolio in Memphis.
Financial Federal arranged a $38,850,000 15-year fixed rate loan with a 30-year amortization through Prudential Financial for the refinance of the historic adaptive reuse Tennessee Brewery Apartments in Downtown Memphis. Using a complex financing structure including tax abatements and historic tax credits, the Memphis borrower renovated the historic building and expanded the property with a second phase. The South Main Arts District property includes 273 apartment units, 10,650 square feet of ground-floor office and commercial space, and a city-owned parking garage.
“Between the Tennessee Brewery and The Chisca on Main apartments, which we financed in 2017, we’re proud to have provided permanent financing for two of the most iconic, mixed use properties in Downtown Memphis,” said Executive Vice President Rick Wood, who arranged loans with Senior Vice President Jon Van Hoozer.
In addition, Financial Federal Bank provided an acquisition/renovation loan of $2,240,000 to the local developer behind Greenline Apartments, a 34-unit apartment community located on Highland Street at the Shelby Farms Green Line. Prior to the loan, the property was under-rented with considerable deferred maintenance. The property’s rebrand and renovation yielded a 70% rent increase.
Financial Federal Bank closed the $6,320,000 acquisition loan with agency debt for Annie’s Townhomes, a 200-unit apartment community in North Memphis. Additionally, Whitehaven’s Chambliss Village Apartments, a 36-unit propertyand Graceland Flats Apartments, a 98-unit property, received a $4,967,000 loan for an extensive rehab by a local developer. Arranged by Financial Federal, a life company funded both properties on 10-year fixed rate loans with a 25-year amortization.
Financial Federal Bank arranged a renovation loan through a Memphis community bank for Summereast Apartments, a 120-unit garden-style complex located at Summer Avenue and I-240 in Memphis. Fifteen months later, Financial Federal Bank rolled the debt to nonrecourse through Mutual of Omaha for a local developer at $5,300,000.
Financial Federal Bank provided a $35,700,000 non-recourse agency loan through Prudential Financial for North 38 Apartments, a 228-unit student housing community at James Madison University in Harrisonburg, Virginia.
Finally, Financial Federal Bank arranged two loans totaling $16,050,000 through Mutual of Omaha for an 847,000-square-foot bulk warehouse portfolio of eight industrial properties in the Southeast Memphis submarket. Financial Federal will also be the servicer of this loan on behalf of the lender.
ABOUT FINANCIAL FEDERAL.Financial Federal Bank is a locally owned and operated community bank headquartered in Memphis with a presence in Nashville. The commercial/multifamily division of Financial Federal is a member of CRECA (Commercial Real Estate Capital Advisors). For more information, visit finfedmem.com.