November 16, 2020
Marcus & Millichap Capital Corp. has arranged a bridge loan for the recapitalization and purchase of a 475-bed, 190,472-square-foot student housing asset located one block from Oklahoma State University in Stillwater, OK.
Todd McNeill and Jacob Rich of Marcus & Millichap Capital Corp. arranged the financing on behalf of the undisclosed borrower. The 36-month, non-recourse, interest-only loan was structured with an adjustable interest rate and 80% “as is” loan-to-value and 70% “as stabilized” loan-to-value.
“Challenging under normal circumstances, financing was further impacted by the property’s 0% occupancy for the school year due to construction delays, issues relating to COVID-19, including whether the university was going to open or not, the softening of the student housing market in Stillwater and the complete absence of agency lenders, who have, for the time being, suspended lending on student housing properties,” said McNeill.
For comments, questions or concerns, please contact David Cohen