WORLD PROPERTY CHANNEL ®

Chatham Harbor apartments

(ALTAMONTE SPRINGS, FL) -- The first bond issue closed in Florida under the Treasury's new Bond Credit Enhancement (BCE) program, and one of just four closed nationwide, has been completed for an Orlando suburban property.

Stoneleigh Partners Acquisition Corp. Trust (NYSE: SOC.U), a national multifamily investment firm, has acquired the 25-year-old, 324-unit, 93 percent occupied Chatham Harbor at 545 Nantucket Court, Altamonte Springs,  for $15.2 million.

The 32-year acquisition and rehabilitation bonds were issued by Orange County Housing Finance Authority under its 2009 allocation cycle.

Kevin Judd

Needham, MA-based CWCapital LLC, a subsidiary of CW Financial Services and a full-service, national lender to the multifamily and healthcare real estate industries, arranged the financing.

The loan was originated by Frank Baldasare, Senior Vice President in CW's Atlanta office, and was referred through ARA Finance, CW's joint venture with Apartment Realty Advisors (ARA). Kevin Judd, Senior Vice President with ARA, referred the transaction.

"The bond structure under the Treasury's BCE program in conjunction with the credit enhancement by Freddie Mac provided the sponsor with a much more favorable interest rate than selling the bonds in the open market," says Baldasare.

Michael Berman, President and CEO of CWCapital, says his firm was  "pleased to be among the first lenders to complete a financing transaction under the Treasury's new BCE program."

Michael Berman

Berman adds, "The (federal)  program offers a winning combination of supporting affordable housing initiatives while also providing borrowers with highly competitive interest rates. We look forward to the opportunity to close additional BCE loans in 2010."

Built in 1985 and situated on 21 acres adjacent to the Little Wekiva River, Chatham Harbor offers residents two swimming pools, a hot tub, state-of-the-art fitness center, and tennis and volleyball courts.

Located 20 minutes north of downtown Orlando and 35 minutes north of Orlando International Airport, "the property enjoys excellent accessibility from major transportation corridors, Interstate 4 and State Road 436," says Berman.

CW, an approved Seller/Servicer under Freddie Mac's Multifamily Targeted Affordable Housing Program (TAH Program) arranged for the credit enhancement for the fixed-rate tax exempt bonds through Freddie Mac.

Please see related Real Estate Channel posting, CWCapital Posts $1.3B in Closed Loans for 2009, Mostly Through Fannie Mae and Freddie Mac, Jan. 26, 2010.

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