Red Mortgage Capital, Related Companies and Texas Housing Foundation Close $22 Million Rural Affordable Portfolio
May 14 2019 - 9:00AM
Business Wire
The Joint Venture ensures affordability of 556 apartments in 12
rural Texas communities
Red Mortgage Capital, a division of ORIX Real Estate Capital,
LLC, recently closed a $22 million portfolio with a joint venture
between Related Affordable, a division of Related Companies, and
the Texas Housing Foundation (THF). The funding will enable Related
to substantially rehabilitate 14 properties located in 12 rural
Texas communities, preserving the affordability of 556 housing
units.
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David Bonomo, RED Capital Group (Photo by
Laura Schmidt Photography)
The loans were made using the USDA Rural Development program.
All of the properties had existing USDA 515 debt outstanding,
which, pursuant to USDA 538 program guidelines, was restructured as
part of this long-term preservation initiative.
“Related Affordable has preserved tens of thousands of
affordable housing units across the country and has never taken a
single unit to market rate. This is a promise we will once again
make to our community partners in Texas,”
said Matthew Finkle, President at Related Affordable. “Related
takes great pride in building neighborhoods, and it
is because of partners like the Texas Housing
Foundation and RED that we are able to provide long-term
affordable housing to those who need it most.”
RED and Lancaster Pollard, both owned by ORIX Corporation USA,
recently merged, combining the expertise and experience of both
companies. Multifamily transactions are currently being executed
under the dba of Red Mortgage Capital.
Related selected RED Based on their distinguished track record
of underwriting, funding and servicing USDA RD loans. Red Mortgage
Capital is one of the top five lenders in the RD program.
“Coordinating the complexity of closing of 14 properties into
one portfolio was a true team effort,” said David Bonomo, Director
at RED. “We are proud to be Related’s partner as they expand their
affordable presence into the state of Texas.”
“As a very active USDA, Fannie Mae and FHA -Affordable housing
lender, RED Capital provides a comprehensive menu of affordable and
workforce housing financing options nationwide. It was our pleasure
to work with Related Affordable on this Texas portfolio,” said
Trent Brooks, President of Red Mortgage Capital.
The portfolio includes properties in the following communities
throughout Texas, some with populations below 2,000: Albany,
Bastrop, Baytown, Burkburnett, Castroville, Electra, Elgin, Evant,
Hondo, Lampasas, Beeville, Pflugerville, and Round Rock.
ABOUT RED MORTGAGE CAPITAL
Red Mortgage Capital is a division of ORIX Real Estate Capital,
LLC, a Fannie Mae DUS®, MAP- and Lean-approved FHA, and Freddie Mac
small balance lender. ORIX Real Estate Capital Holdings, LLC is
headquartered in Columbus, OH and is a wholly owned subsidiary of
ORIX Corporation USA. ORIX Real Estate Capital has 16 offices
nationwide and approximately 330 employees. Securities, Investment
Banking and Advisory Services are provided through OREC Securities,
LLC, member FINRA/SIPC.
ABOUT RELATED COMPANIES:
Related Companies is the most prominent privately-owned real
estate firm in the United States. Formed over 40 years ago, Related
is a fully-integrated, highly diversified industry leader with
experience in virtually every aspect of development, acquisitions,
management, finance, marketing and sales. Headquartered in New York
City, Related has offices and major developments in Boston,
Chicago, Los Angeles, San Francisco, South Florida, Washington,
D.C., Abu Dhabi and London, and boasts a team of over 3,500
professionals. With over $50 billion in assets owned or under
development including the 28-acre Hudson Yards neighborhood
development on Manhattan’s West Side, Related was recently named to
Fast Company Magazine’s list of the 50 Most Innovative Companies in
the World. For more information about Related, please visit
www.related.com.
ABOUT RELATED AFFORDABLE:
Related Affordable is the division of Related Companies that
develops, acquires and preserves affordable housing throughout the
nation. Affordable housing laid the foundation of Related
Companies, and its broad portfolio of award-winning affordable and
mixed-income developments demonstrates the company’s continuing
ability to create affordable housing opportunities in a variety of
geographically, economically and socially diverse neighborhoods.
Related owns and operates a portfolio of more than 45,000
affordable and workforce housing units.
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version on businesswire.com: https://www.businesswire.com/news/home/20190514005084/en/
Lisalynne QuinnDirector of MarketingRED CAPITAL GROUP, LLC+1 469
385 1434llquinn@redcapitalgroup.comredcapitalgroup.comtwitter:
@Lisalynne_REDCorp. twitter: @REDCapitalGroup
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