Joint-venture partners ESG Kullen and Angelo Gordon have secured a $49.2 million loan for the recapitalization of a 219-unit multifamily property in Palm Beach County, FL.
The floating-rate loan was provided by commercial real estate debt fund manager and portfolio lender Mesa West Capital LLC.
The first mortgage debt is secured by the multifamily asset Monteverde at Renaissance Park, which comprises three six-story buildings across 2.5 acres. The community offers one-, two- and three-bedroom floor plans, as well as a resort-style pool and jacuzzi, a fitness center, billiard room, outdoor grills, bicycle storage, a gated parking garage and an on-site property manager.
The is 91.8%-leased property was originally built in 2006 as a condominium.
Located at 1625 Renaissance Commons Blvd. in Boynton Beach, FL, the property is situated within the Renaissance Commons master-planned community, which is located less than 15 miles south of downtown West Palm Beach, FL.
“Monteverde offers the sponsor an outstanding value-add opportunity in reimagining the common and amenity spaces to bring them in-line with market current standards,” states Mesa West Capital executive director Russell Frahm. “In addition, the property will benefit from strong multifamily demand drivers, including the continued Sun Belt migration, especially to no income tax states like Florida, and greater appeal of multifamily living in this higher interest rate economy.”
For the transaction, Frahm led Mesa West Capital’s New York City-based origination team, along with VP Brian Hahn and analyst Jacob Rosen. CCL Capital principal Michael Lupo arranged the financing. A Gibson, Dunn & Crutcher LLP legal team led by Mark Osher, Eric Steiglitz and Zak Baron represented Mesa West Capital in the transaction.
Mesa West Capital has originated more than $310 million in loans in Palm Beach County, FL in the past 24 months. The area, which has continually exceeded 16% population growth since 2010, ranks as Florida’s third most populous county.