Transaction Details

• Loan Amount: $5.459 Million
• Loan Type: Fixed-Rate Bridge Loan
• Loan Term: 12 Months
• Property Type: Multifamily

Topeka, Kansas (November 16, 2020) – Red Oak Financial, a Michigan-based commercial real estate finance company, funded a $5,459,000 fixed-rate bridge loan for the purchase of Deer Creek Apartments, a 111-unit multifamily complex in Topeka, KS. The property at 441 S.E. Winfield Ave., 430 S.E. Winfield Ave., and 426 S.E. Arter Ave. sits two miles from downtown Topeka. 

The loan will allow the sponsor to expand the property into a 153-unit community, through the renovation and expansion of two buildings, as well as construction of a brand new eight-unit building. The revitalization and expansion is expected to be completed by Fall 2021. 

Red Oak’s Gary Bechtel said, “Real estate fundamentals of the market indicate capital allocations into Topeka are both sound and strategic. Red Oak was drawn to this opportunity based on the experienced sponsor’s track record for revitalizing value-add properties, along with its portfolio of high performing assets and balance sheet.”

Proceeds for the financing will allow the updates and renovations of Deer Creek Apartments to move ahead, as well as building the additional units. The property is situated in a burgeoning area east of the capital of Kansas. The location near a metropolitan market provides high visibility, complimentary properties, and is bolstered by the stable existing operational history of a 100%-leased asset.  

Transaction Details

• Loan Amount: $9.650 Million
• Loan Type: Fixed-Rate Bridge Refinancing 
• Loan Term: 2-Year
• Property Type: Retail

Red Oak Financial, a Michigan-based commercial real estate finance company, funded a $9,650,000 fixed-rate bridge loan for the Village Festival Shopping Center in Roswell, Georgia. The Class B, multi-tenant retail center at 10930 Crabapple Rd., sits on nearly seven acres and contains a total of 56,921 square feet in two, one-story buildings.

Red Oak’s Gary Bechtel said, “We recognized this well-located retail center in a premier community of Metro Atlanta represented an opportunity to deliver key funding to a sponsor seeking to freshen up the asset to appeal to an affluent Roswell customer base. The loan will provide resources to execute a strategic capital improvement program and further stabilize the property through lease up.”

The sponsor, Phoenix Ten Properties, LLC, is confident the new vision for the Village Festival Shopping Center will introduce a wide array of shopping, dining, and event options at a property that caters to family and working professionals. Planned renovations are expected to bring vibrant energy to the center, as well as the surrounding communities.

The property benefits from high traffic counts, excellent visibility and access to thoroughfares, interstates, and public transportation. It is the last major retail center at the intersection of Woodstock Road and is connected to historic downtown Roswell. The Village Festival Shopping Center stacks up well against the surrounding competitive property set and is situated in a superior Roswell location, considered one of the best communities to live in near Atlanta.