Bellwether Enterprise Real Estate Capital LLC closed a $ 10.8 million loan to Fannie Mae for the purchase of Four Seasons apartments in Faribo, Minnesota. The 144 apartments were bought for $ 12.5 million, which is $ 86,805 per unit.
This four-story home was built in the 1970s and has undergone exterior changes over the past five years, including new roofs, windows, siding and terraces. The new owners plan to continue renovating the property with high-efficiency lighting and low-flow plumbing, in addition to upgrading the units.
This development marks the first deal from Bellwether Enterprise’s Minneapolis office to use the new Fannie Mae sponsored Affordable Affordable (SIA) program. The SIA program guarantees that rent at Four Seasons Apartments will be affordable to tenants earning 80 percent of the Region’s Average Income (AMI) or less over a 12-year loan term.
“Bellwether Enterprise is proud to be part of the future of the Four Seasons Apartments,” said Lucas Goring, vice president of Bellwether’s Minneapolis office who made the loan. “This deal represents an important step towards increasing affordability in Minnesota.”
The new group of owners is a subsidiary of Felfam Limited Partnership, a third generation family partnership based in California with nationwide assets in all major types of ownership.
“Four Seasons is a great addition to our portfolio,” said Ryan Stomel, General Partner of FelFam LP. “We are actively looking for new projects in Minnesota because we have a critical mass there. The economic stability in the state continues to impress us. “