Los Angeles Area Mobile Home Park First to Receive Financing Under Fannie Mae Green Rewards Program
Hunt Mortgage Group has announced it has provided a $33.6 million loan to refinance Summit Mobile Home Park in West Hills, California.
This is the first manufactured housing community in the United States to receive financing under the Fannie Mae Green Rewards program. The program provides financing for multifamily properties that carry green building certifications such as LEED, ENERGY STAR, or the National Green Building Standard.
Share of Loan Proceeds to be Used to Install Solar Panels to Boost Energy Efficiency
The Fannie Mae Multifamily Green Financing program provides mortgage financing to apartment buildings and cooperatives to finance energy and water efficiency property improvements. The transaction with Summit Mobile Home Park is the first in a space rental manufactured home community. A share of the loan proceeds will be used to install solar panels to boost energy efficiency throughout the park.
Summit Mobile Home Park Is ‘Very Well Cared For’ With A 95%+ Occupancy Rate
“Louis Miller developed the property in 1980 and his family has successfully owned and managed the property since that time,” noted Larry Wilemon, vice-president at Hunt Mortgage Group. “Owners have maintained 95%+ occupancy rate at the park. The asset is also very well cared for.”
“The borrowers are planning to cash out some of the funds from the new loan for future acquisitions and to implement property renovations. We were pleased to deliver on this transaction for a seasoned mobile home park investor, providing green energy solutions,” said Wilemon.
“Several key waivers were needed from Fannie Mae to obtain the financing,” said Jonathan Hakakha, managing director of Beverly Hills-based Quantum Capital Partners, who arranged the financing. “We were able to work through the challenges up front and received the waivers in advance of signing the term sheet, which allowed us to close in 45 days.”
The Quantum team’s success was invaluable in identifying the best capital markets execution for the sponsor, and their proactive management of the loan process enabled the timely closing, added Wilemon.