NewPoint Provides $39.9 Million Freddie Mac Refinance for Alterra Apartment Homes in San Jose
SAN JOSE, CA — NewPoint Real Estate Capital LLC (NewPoint) has arranged a $39.9 million Freddie Mac loan to refinance Alterra Apartment Homes, a 143-unit garden-style community in San Jose.
The seven-year loan features interest-only payments for the first four years and will replace existing debt on the property. The financing supports the sponsor's long-term investment strategy for Alterra, which offers quality housing in a supply-constrained market with strong demand for two-bedroom units.
"This transaction further exemplifies NewPoint's ability to deliver efficient execution and customized capital solutions," said Laurie Morfin, senior managing director at NewPoint, who originated the refinancing with David Bleiweiss, managing director. “We were able to offer the borrower favorable terms, including a 35-year amortization, to help them refinance a bridge loan that had been placed on the property in 2021,” said Bleiweiss. “In addition, we utilized the Freddie Mac Index Lock to lock in a favorable treasury yield during a time of market volatility.”
Alterra, located at 1640 LaRossa Circle in the Alma-Almaden neighborhood, was built in 1988 and renovated in 2018 following its acquisition by New Standard Equities. The property consists of 14 two- and three-story buildings with two-bedroom apartment layouts featuring one or two bathrooms and modern finishes. The pet-friendly, gated community has a fitness center, pool, barbecue area, and 249 covered and uncovered parking spaces, with convenient access to CalTrain, Light Rail, and major freeways for commutes throughout the South Bay region.
“Closing a loan in this volatile environment takes a Herculean effort,” said Edward Ring, Founder & CEO, New Standard Equities, Inc. “With a rate reduction of 265 basis points from that of our previous loan, we are obviously pleased with the results and were grateful to have had the guidance and stewardship from David Bleiweiss and Laurie Morfin.”
About NewPoint Real Estate Capital
NewPoint Real Estate Capital LLC (NewPoint) is a prominent commercial real estate finance company delivering lending solutions to investors of multifamily, affordable housing, seniors housing, healthcare, and manufactured housing properties nationwide. NewPoint leverages technology, data, capital, and the expertise of its industry-leading team to provide loan origination, servicing, execution, and a suite of Agency and curated proprietary products to meet the evolving needs of borrowers. In addition to being a Fannie Mae DUS®, Freddie Mac Optigo®, and FHA/HUD MAP and LEAN Lender, NewPoint also offers proprietary bridge and affordable housing financing.