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Tremont Structures $9,360,000 Financing for Richland Meadows MHC
 The Annapolis office of Tremont Realty Capital arranged capital for the refinance of Richland Meadows MHC, a 70 acre, 406-unit manufactured housing community located in Quakertown, PA.
John Chase, a Senior Director with Tremont, arranged the $9,360,000 loan, which was funded through one of Tremont’s correspondent relationships. The 10 year, non-recourse loan provided for roughly 65% loan-to-value with a 6.4% interest rate. The property is located within three miles of Interstate 476, which provides easy access to Philadelphia. According to Chase, “It was tricky to navigate this loan closing through the turbulence of the current capital markets. Strict and ever evolving underwriting criteria resulted in a $300,000 shortfall in loan proceeds. Tremont was able to devise a creative structure which enabled the Sponsor to borrow the additional funds as an unsecured personal loan from an affiliate lender.” Chase also added, “At rate lock interest rates had fallen 18 basis points below the Sponsor-approved pricing. Legally, the lender could have added it to their spread, but, instead with Tremont’s help, the reduction was passed through to the borrower resulting in interest savings of $168,000 over the life of the loan.”
For additional information on this transaction,
please contact:
John Chase
Senior Director
Email: jchase@tremontcapital.com
Phone: 410.604.1744
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