Berkadia has arranged the refinancing of Celebration Pointe, a newly built rental community located in Margate, Florida. The $43.34 million loan assumes a portion of the original construction loan and provides additional financing to cover stabilization of the property. The funding was arranged through Freddie Mac which provided a fixed-rate, 11-year loan with an interest rate below 4 percent. Built in 2016, the property is currently 83 percent leased and is located at 5555 Celebration Pointe Lane. The community features a range of amenities which include outdoor lounge areas. Berkadia South Florida Senior Managing Director Charles Foschini, Senior Director Jared Hill, and Senior Analyst Lourdes Carranza-Alvarez arranged the loan on behalf of borrower Celebration Pointe North LLC.
“What was unusual and especially complicated about this transaction is that the property is not yet stabilized,” said Foschini. “The extra year on this 10-year loan is part of Freddie’s lease-up program and essentially gives the owner the ability to exit their construction loan with permanent terms, while providing additional time to lease up and stabilize the property. This was a complex loan that required a high degree of sophistication from all parties involved including the borrower.”
