Walker & Dunlop Provides $61 Million Loan for New Bozzuto Apartment Community
Bethesda, Maryland – November 6, 2017
Walker & Dunlop, Inc. (NYSE: WD) (the “Company”) announced today that it structured a $61,149,600 United States Department of Housing and Urban Development (“HUD”) loan for Monarch at Waugh Chapel (“Monarch”). The Class A multifamily project is a joint venture between Bozzuto Development Company (“Bozzuto”) and Reliable Contracting and it will be located in Gambrills, Maryland.
Dee McClure, managing director at Walker & Dunlop, led the team in arranging the loan via HUD’s 221(d)(4) new construction program, which provides both construction and permanent financing within a single loan structure. Further, the program serves to minimize interest rate risk for the developer. Details of the financing include a two-year construction term followed by a permanent, 40-year loan with a fixed rate.
“Bozzuto greatly values the power of partnering with Walker & Dunlop and Reliable Contracting, and we share their positive view of the market fundamentals in the area. Monarch’s 246 apartment residences will complement the community of Waugh Chapel, by strengthening its economic growth and supporting its diverse workforce with an extraordinary place to call home,” said Steve Strazzella, president of Bozzuto Development Company.
Ms. McClure commented, “We fully expect that Bozzuto’s unique designs and innovative approach to development will set Monarch apart from the competition. These details and values certainly contributed to their 2017 NAHB and MHN Developer of the Year awards, and we are proud that a developer of this caliber chose to collaborate with us on the funding of this project.”
Monarch is part of the Waugh Chapel master-planned community, which will include residential, commercial, office, and recreational amenities along the intersection of Crain Highway (U.S. Route 3) and Evergreen Road. Two shopping centers within the community, the Waugh Chapel Towne Center and The Village at Waugh Chapel, offer more than 120 options for shopping, dining, and entertainment. Once fully constructed, the master-planned community will also include a business park, assisted living facility, and athletic fields.
Located halfway between Baltimore, Maryland and Washington, D.C., Monarch at Waugh Chapel is uniquely positioned within a suburban nature setting in commuting distance to both cities. The apartment community will offer residents quick access to local schools, country clubs, and the Towers Branch Park nature and hiking trails. Situated on 15.7 acres, Monarch at Waugh Chapel will comprise one four-story apartment community with 246 units. The community will have two wings connected by a 7,282 square-foot clubhouse containing a leasing office, fitness center, yoga studio, lounge, business center, billiards room, and a solarium, as well as a large in-ground, resort-style outdoor pool, courtyard, and cooking stations.
Walker & Dunlop is a leader in the conventional multifamily lending space, ranking within the top five largest multifamily lenders with Fannie Mae, Freddie Mac, and HUD. The Company has also increased its presence in the construction space, originating over $450 million in loans for development projects in the first half of 2017.
For more information on Walker & Dunlop’s financing options, visit our newly redesigned website. To read more about recent development loans, see our recent press releases:
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.
The Bozzuto Group is an experience-focused real estate company that is continually celebrated for its developments, customer service and workplace culture. With an expertise in homebuilding, multifamily development, construction and management for itself and its clients, Bozzuto is devoted to crafting extraordinary experiences.
Founded in 1988, Bozzuto has developed, acquired and built more than 42,000 homes and apartments. Currently, it manages more than 65,000 apartments and 2.2 million square feet of retail space along the East Coast between Miami and Boston, in the Northeast and Chicago. With an annual volume of $500M, Bozzuto Construction is one of the largest general contractors in the Mid-Atlantic region. www.bozzuto.com
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