ACRES Capital Originates $50.5M Loan for Multifamily Development Adjacent to University of GeorgiaDECEMBER 15, 2021
ATHENS, Ga. – (December 15, 2021) – ACRES Capital Corp. (together with its subsidiaries, “ACRES”), a leading commercial real estate middle-market lender, has originated a $50.5 million loan to fund the construction and stabilization of Baldwin Village (the “Property”), a five-building, multifamily community featuring residential units and retail located at 475 Baldwin Street in Athens, Georgia. The loan is provided to sponsor Parker & Associates, an Athens-based property management and development firm with deep expertise in the local market.
“As the home of the University of Georgia, Athens has consistently been ranked one of the best college towns in America,” said ACRES Chief Executive Officer and President Mark Fogel. “Baldwin Village is an exciting project because it will be one of the few non-student-oriented developments in the city and will accommodate the pool of graduate students and faculty, as well as other professional workers brought into Athens by the school’s Innovation Lab initiatives. Over the course of 2021, Athens has also seen a tangible increase in rental activity, further increasing the demand for this type of housing.”
Baldwin Village will consist of 157 multifamily units, approximately 25,000 square feet of retail space and 221 parking spaces spanning its five buildings. Its 3.1-acre lot sits in a prime location directly adjacent to the University of Georgia campus, and is a short distance from the heart of the city’s music and restaurant scene, as well as Sanford Stadium, the home of the Georgia Bulldogs. The sponsor selected ACRES for its creative financing solution, which packaged the funding as a single loan, as well as its experience in Athens.
“The ACRES team is intimately familiar with the benefits of the Athens market, having already originated a loan for another property in the area,” said Ken Parker, Owner of Parker & Associates. “This knowledge, along with the team’s support of our business plan for Baldwin Village, made the transaction a smooth process. We look forward to offering residents a new, high-quality housing option in Downtown Athens, especially those who are seeking non-student housing.”
Athens’ economy is driven partially by the growth of the University of Georgia, and as a result the city is rapidly expanding into a healthcare, technology, and innovation hub. RWDC Industries LLC, a biotechnology firm founded by the University’s innovation lab in 2015, has brought over 300 high-paying jobs to the city. These new employment opportunities have created significant demand for market-rate housing proximate to the University’s campus.
The loan was arranged by Jamie Butler and Michael Bowles of Team Butler of Walker & Dunlop.