Houston, TX (July 27, 2023) – NewPoint Real Estate Capital (“NewPoint”) has provided a Freddie Mac Targeted Affordable Housing (TAH) loan to refinance Stadia Med Main Apartments for repeat NewPoint and Freddie Mac client Aspen Oak Capital Partners (“Aspen Oak"), a multifamily owner/operator focused on essential housing communities. Stadia Med Main Apartments is a four-story, 338-unit class A community built in 2020 in Houston’s Medical Center/West University submarket. NewPoint worked with Barry Lefkowitz, Managing Director at Meridian Capital Group, who represented the borrower on the transaction.
The fixed-rate refinance features a seven-year term, flexible prepayment, and a 35-year amortization schedule, which Freddie Mac provided given the affordability elements, strength of the sponsorship, experienced management company, and asset quality.
The loan refinanced a NewPoint Bridge Loan that facilitated the April 2022 acquisition of Stadia Med Main Apartments (formerly known as Alta Med Main). In November 2022, Aspen Oak partnered with a subsidiary of the City of Houston Housing Authority, organized as a nonprofit public facility corporation (“PFC”), and successfully completed the creation of a 99-year ground lease structure. Under this arrangement, the borrower set aside half of the units for essential housing.
“This successful refinance during a turbulent market is exemplary of the power of this property, Aspen Oak’s dedication to creating crucial housing, and NewPoint’s ability to support a complex business plan with a NewPoint Bridge Loan while providing a strategic exit into high-quality permanent debt offered by Freddie Mac,” said Brian Walton, Vice President at NewPoint. “Stadia Med Main is now positioned to provide first-rate housing for the working families and professionals of Houston for many years to come.”
Stadia Med Main features one- and two-bedroom units and was approximately 95% occupied at closing. Units feature stainless steel appliances, tiled kitchen backsplashes, granite countertops, and walk-in closets. Community amenities include a clubhouse, game room, 24/7 fitness center, billiards, business center, swimming pool, outdoor lounge areas, dog park, and a parking garage with 417 spots.
Houston’s Medical Center/West University submarket has seen a consistent decrease in vacancy in recent quarters – this trend is expected to continue to decline with a projected rate of 4.7% in 2024. Stadia Med Main is located within two miles of important demand drivers, including the Texas Medical Center, the Houston Zoo, and NRG Stadium.
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.