Lument Closes $13 Million Bridge Loan for Acquisition and Renovation of California Multifamily Community
New York, NY — Lument recently announced the closing of a $13 million proprietary bridge loan to acquire and renovate Frostonya, an 81-unit multifamily mid-rise apartment community with ground level retail in Los Angeles, California. Lument Director Jim McArthur led the transaction.
“It was a pleasure to work with this customer to acquire this beautiful, historic property in the heart of Los Angeles after it was put on the market for the first time since the 1980s,” said McArthur. “We were able to structure and fund 100% of the required capital expenditures with loan proceeds to help them upgrade and remodel the community.”
The $13 million bridge loan, which features a variable interest rate and a three-year term with two 12-month extension options, also includes $1.5 million to fund improvements at the property.
Frostonya is an Art Deco property and was originally constructed in 1927. It has recently been renovated to update plumbing, electrical, and elevator mechanics. Property amenities include a rooftop deck with downtown views, gated entrances, a 14-space parking garage, and 29 spaces of surface parking. In-unit amenities include stainless steel sinks, wood cabinets, a mix of granite, quartz and ceramic tile countertops, and gas range-ovens.
ORIX Real Estate Capital Holdings, LLC, d/b/a Lument, is a subsidiary of ORIX Corporation USA. Lument is a national leader in commercial real estate finance. As the combined organization of legacy industry experts Hunt Real Estate Capital, Lancaster Pollard, and RED Capital Group, Lument delivers a comprehensive set of capital solutions customized for investors in multifamily, affordable housing, and seniors housing and healthcare real estate. Lument is a Fannie Mae DUS®, Freddie Mac Optigo®, FHA, and USDA lender. In addition, Lument offers a suite of proprietary commercial lending, real estate investment sales, investment banking, and investment management solutions. Lument has approximately 600 employees in over 25 offices across the United States. Securities, investment banking, and advisory services are provided through OREC Securities, LLC, d/b/a Lument Securities, Member FINRA/SIPC. Investment advisory services are provided by OREC Investment Management, LLC, d/b/a Lument Investment Management. OREC Investment Management is registered as an investment adviser with the U.S. Securities and Exchange Commission. For more information, visit www.lument.com.