Pillar Originates $11.3 Million Fannie Mae Loan To Refinance “Class A” Multifamily Property Located In Downtown Cincinnati, Ohio

CHICAGO (February 8, 2017) – Pillar, an industry leader of financing solutions for affordable and market rate multifamily and healthcare properties recently acquired by SunTrust Bank, a subsidiary of SunTrust Banks, Inc. (NYSE: STI), announced today that it has originated an $11.3 million Fannie Mae loan to refinance The Gramercy on Garfield. Built in 1992, the “Class A” multifamily property is located in downtown Cincinnati, Ohio, an increasingly popular area for young professionals who choose to live within walking distance of the city’s employment centers. The property consists of 148 studio, one- and two-bedroom units, as well as high-end amenities such as a swimming pool, outdoor kitchen, clubroom and a parking garage. The Gramercy on Garfield also includes 16,000 square feet of street level retail space. The property was well occupied when the loan closed on January 31.

The fixed-rate, 10-year term loan with a 30-year amortization schedule was originated by Joe Markech, Managing Director of Pillar in the Chicago office. The sponsor is a Pillar repeat borrower and is one of the largest developers and managers of multifamily properties in Southwest Ohio. The mortgage banker is Chip Kupferberg, Principal Member of BlueMark Capital, located in BlueMark’s Cincinnati office.

“Fannie Mae recognized that our client is a sophisticated, repeat borrower and that The Gramercy on Garfield has a long history of full occupancy,” said Markech. “However, this transaction represents a great example of Pillar’s diligence in working through a variety of challenges to get to close. The transaction required an extension of a ground lease, and the property was in the middle of a renovation that posed issues in terms of maintaining full occupancy during the due diligence phase.”

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