Maverick Commercial Mortgage, Inc. Announces A $9,750,000 First Mortgage Construction Loan On A Manufactured Housing Community Located in Sequim, Washington
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Benjamin L. Kadish, President of Maverick Commercial Mortgage, Inc. announces the closing of a first mortgage construction loan on a to-be-built 217 site manufactured housing community that will be known as Lavender Meadows. Lavender Meadows Park is a proposed manufactured housing community with 217-double wide lots, two car off-street parking, pocket parks, and a club house located at 947 North Sequim Avenue in Sequim, Washington. The borrowers chose Sequim due to the strong housing demand, high monthly rent, and the area attracting a large number of retirees. Sequim sits in the rain shadow of the Olympic Mountain Range and receives less then 16 inches of rain per year making a desirable retirement destination. This project has a high barrier to entry as manufactured housing communities of this scale are normally disallowed in most jurisdictions. The project has been approved by the city and is under construction. The park will be restricted to residents age 55 and older. The 38-acre site sits in downtown Sequim surrounded by big box retail, casinos, golf courses, a country club, churches, cafes, and many other outdoor attractions such as the Dungeness Spit and Olympic National Park. With the average age of 62, Sequim attracts a large number of retirees over the age of 55. We were able to overcome multiple challenges including the timing during a global pandemic and the community’s location in a tertiary market. Additionally, the development of a new seniors manufactured housing community represented a very unique request for a first-time MHC developer and operator. However, we were able to find a lender that understood the unique opportunity.
The recourse loan has a term of five years, consisting of a two year interest only period, followed by an amortizing period of three years. The amortizing period is based on a 25 year schedule. The loan funded 69.15% of project costs. The loan was capitalized through a bank participation program. The project is a joint development between Advanced Land & Business of Kingston, WA as the local developer and Spartan Investment Group of Golden, CO. General contracting will be provided by Logan Development of Kingston, WA. Additional information can be found at: https://mylavendermeadows.com/
About Maverick Commercial Mortgage, Inc. Maverick Commercial Mortgage, Inc., arranges a wide variety of commercial real estate loans ranging from $2,000,000 to $50,000,000 for its middle market real estate developer and investor clients. Please contact Ben Kadish at 312-268-6000, 312-953-4344, or at ben.kadish@mavcm.com.