Northmarq secures the $26.4M refinance of 735 St. Clair, a 212-unit apartment community in Portland, OR
PORTLAND, Ore. (Jan. 23, 2025) — Northmarq’s Newport Beach Debt + Equity team, including Joe Giordani, Scott Botsford, Brendan Golding, Alvin Cao and Stuart Oswald from the Seattle Debt + Equity team successfully secured the $26.4 million refinancing of the 212-unit 735 St. Clair apartment community in Portland, Oregon.
As a direct Freddie Mac lender, Northmarq secured the permanent fixed-rate refinance loan for the borrower, Fairfield. The transaction is a 5-year fixed term with 3 years interest-only and a 35-year amortization schedule to maximize proceeds. The prepayment penalty was structured as Yield Maintenance for the first three years and 1% for the last two years to provide flexibility.
“We ran a full process to provide bridge and agency options. Ultimately, the pricing and flexibility of the Freddie Mac execution won,” said Giordani. “It was a team effort working with Freddie Mac to achieve all relevant waivers and the best possible structure for a premier institutional owner/operator like Fairfield. Fairfield’s timing couldn’t have been better when the index locked at a low point of the 5-Year Treasury during the process.”
“The Northmarq team leaned in to make the closing process extremely smooth and we secured excellent results on proceeds and rate,” said Michelle Lord, EVP and Head of Project Finance at Fairfield.
Freddie Mac and Fannie Mae, continue to play a vital role in the U.S. housing market by providing liquidity and stability to the mortgage industry. Freddie Mac and Fannie Mae have been refining their guidelines and products to adapt to rising interest rates and affordability challenges.
The 24-story 735 St. Clair apartment community is located in the desirable Goose Hollow neighborhood in southwest Portland and features studio, one- and two-bedroom apartments ranging from 650 to over 1,000 sq. ft. Residents have easy access to greater Portland via the nearby MAX light rail, Portland Street and multiple city bus stops.
Meet our team
Northmarq is a full-service capital markets resource for commercial real estate investors, offering seamless collaboration with top experts in debt, equity, investment sales, loan servicing, and fund management. The company combines industry-leading capabilities with a flexible structure, enabling its national team of experienced professionals to create innovative solutions for clients. Northmarq’s solid foundation and entrepreneurial approach have built a loan servicing portfolio of more than $76 billion and a two-year transaction volume of $52 billion. For more information, visit www.northmarq.com.
