Transit 7 Apartments

BCA arranged financing on behalf of the owners, Patel Group, who are an investment, development, construction and management firm with approximately 100 apartment units under ownership and management throughout the Boston MSA. BCA was able to originate a fixed-rate construction loan of $9,250,000, representing 85% Loan-to-Cost, to facilitate the development, ground-up construction and stabilization of the asset.

“We were eager to take on another assignment for Patel Group, who continue to exhibit the utmost professionalism in not only how they transact, but more importantly how they execute on projects in the marketplace. Transit 7 represented a phase two of a larger development a stone’s throw away from Hyde Park Station, and having financed phase one, watching it come out of the ground, lease-up and stabilize, we knew phase two would be a breeze. We were also very grateful for our lending partner, who offered truly remarkable terms and structure that featured 85% loan-to-cost and a 7 year fixed rate of 4.99% that was locked at term sheet signing and held until closing,” said Patrick Brady, President of Brady Capital Advisors. “While there is still a bit of turbulence in the debt markets, we were pleased with the response from the market and the number of banks that competed on the assignment.”

Transit 7 will include a mix of one-bedroom and two-bedroom floor plans, with both market rate and affordable apartment units. The lender, a local community bank, offered the 7 year fixed rate with 3 years of interest only followed by 30 year amortization, with a flexible prepayment structure.