Red Oak Capital Provides $2.3M Refinance for Atlanta-Area Multifamily Property
Commercial real estate firm and investment sponsor Red Oak Capital Holdings LLC has closed a $2.31-million bridge loan for the refinancing of Hawthorne Manor Apartments, a 20-unit multifamily community located in College Park, Ga., part of the state’s Aerotropolis neighborhood. The non-recourse, interest-only loan was structured under Red Oak’s Opportunistic Bridge Loan Program and carries a 2.5-year term and a long-term sustainable value of 63.29%.
CBRE Capital Markets arranged the financing on behalf of the borrower, Prime Realty Ventures, LLC, which owns a portfolio of 10 multifamily communities totaling more than $16 million in assets across the Atlanta metro area.
“Hawthorne Manor reflects the kind of asset transformation we actively support: strong sponsorship, meaningful renovations, and a business plan aimed at long-term stability,” said Gary Bechtel, chief executive officer of Red Oak Capital Holdings. “This transaction supports continued momentum in a neighborhood that remains vital to the Atlanta workforce and well connected to the region’s major economic drivers.”’
Red Oak lends and invests on commercial real estate, raising capital through retail and institutional channels.
Located at 3586 Jackson Street, just one mile from Hartsfield-Jackson Atlanta International Airport, Hawthorne Manor Apartments includes four two-story buildings with a mix of one- and two-bedroom units. Originally constructed in 1969, property recently underwent a comprehensive $1.9-million renovation that included full interior and exterior upgrades. Prime Realty Ventures intends to refinance the Red Oak loan with agency debt following stabilization.
“This sponsor has already done the heavy lifting,” said Nick Jans, regional manager of Red Oak Capital Holdings. “With major renovations complete and lease-up in progress, this loan provides the final leg of support to help the property reach full stabilization and long-term viability.”
Nestled between Interstate 85 and Highway 29, the Aerotropolis neighborhood offers convenient access to key transportation arteries, employment hubs, and educational institutions including Atlanta Christian College.
Last fall, Red Oak provided $5.46 million in financing for The Breakers Apartments, a 96-unit garden apartment community located in Ocean Springs, Miss. That loan was written under the firm’s Core-Plus Bridge Loan Program, a fixed-rate program for institutional-quality assets in transition. The proceeds are being used to acquire and partially renovate the Jackson County property, which operates under the Low-Income Housing Tax Credit program, or LIHTC.
Headquartered in Charlotte, N.C., Red Oak is a group of commercial real estate capital entities that lends and invests on commercial real estate. It has established proprietary deal sourcing channels, utilizes institutional quality underwriting and structuring capabilities, and has successfully navigated through eight market cycles. In addition to Charlotte, Red Oak has offices in Irvine, Calif., Stamford, Conn., and Grand Rapids, Mich.
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