Bethesda, Maryland – February 19, 2016
Walker & Dunlop, Inc. (NYSE: WD) announced today it structured a $22,009,100 new construction loan for The Waters at Magnolia Bay, a mixed-income, garden-style apartment community located in Lincolnville, South Carolina.
Frank Baldasare, senior vice president, led the Walker & Dunlop team. The loan was structured under U.S. Housing and Urban Development’s (HUD) 221 (d) (4) loan program coupled with short term tax-exempt bonds. The loan terms included an interest-only construction period followed by a 40-year fully amortizing loan, with a debt service coverage ratio of 1.15x. Mr. Baldasare commented, “With our knowledge of HUD and tax-exempt bond financing, Walker & Dunlop was able to provide Atlantic Housing Foundation an efficient, cost-effective way to utilize tax-exempt bond financing with 4 percent LIHTC (Low-Income Housing Tax Credit), resulting in well leveraged, long term, low cost of debt financing. Walker & Dunlop has a wealth of knowledge about this specialized market at their disposal, which is an extremely valuable asset to our clients.”
President and CEO of Atlantic Housing Foundation, Michael Nguyen, stated, “We are very pleased with the exceptional level of service we received from Walker & Dunlop. The Walker & Dunlop team delivered a professional, well-organized process and a timely closing. Atlantic Housing is very excited to be able to bring much needed affordable housing and we look forward to serving the hard working families in the Lincolnville, Summerville, and North Charleston area.”
The Waters at Magnolia Bay is located in an established suburban market along U.S. 78, southeast of downtown Summerville, on 14 acres with over four acres classified as wetlands by the U.S. Army Corps of Engineers. The property will feature 300 beautiful one-, two-, and three-bedroom garden-style apartments with 80 percent of the units being rent and income restricted through the Low Income Housing Tax Credit (LIHTC) program. The Waters at Magnolia Bay will serve families earning no more than 50 percent and 60 percent of the area’s median income. Deluxe community amenities include a furnished clubhouse, a business center with complimentary Wi-Fi, swimming pool, a state-of-the-art exercise facility, and a lush outdoor setting complete with a playground, outdoor fitness center, picnic benches, and permanent grills. The development will be energy certified and all units will have Energy Star appliances which include a dishwasher, refrigerator, and stove.
About Walker & Dunlop
Walker & Dunlop (NYSE: WD), headquartered in Bethesda, Maryland, is one of the largest commercial real estate services and finance companies in the United States providing financing and investment sales to owners of multifamily and commercial properties. Walker & Dunlop, which is included in the S&P SmallCap 600 Index, has over 600 professionals in 28 offices across the nation with an unyielding commitment to client satisfaction.