Marcus & Millichap Secures $40.3M Financing for San Antonio Apartment Complex
Event summary
- Marcus & Millichap's IPA Capital Markets arranged $40.3M in financing for the 312-unit Birwood Heights apartment complex in San Antonio.
- The non-recourse bridge loan features a three-year term, 80% loan-to-value, and a 6.45% stabilized debt yield.
- Lenders provided nine floating-rate and six fixed-rate quotes, indicating strong appetite for Sunbelt multifamily properties.
- Birwood Heights, delivered in March 2019, offers premium amenities and is located near major employment and educational hubs.
The big picture
This transaction underscores the robust demand for capital in the Sunbelt's multifamily sector, particularly for newer-vintage properties. Marcus & Millichap's ability to secure multiple competitive quotes highlights the competitive lending environment and the strategic importance of location-advantaged assets. The $40.3M deal size reflects the scale of institutional interest in this growing market segment.
What we're watching
- Lender Appetite
- How sustained lender interest in Sunbelt multifamily properties will affect future deal flow and pricing.
- Debt Yield Trends
- Whether the 6.45% stabilized debt yield represents a new benchmark for similar properties in the region.
- Bridge Loan Performance
- The pace at which similar bridge loans will transition to permanent financing as market conditions evolve.