Janover has secured $4.1 million in refinancing for a 41-property portfolio scattered across Washington Court House, Ohio., through its financing platform. A debt fund headquartered in Irvine, Calif., provided the 10-year, fixed-rate loan to a local borrower. The loan is non-recourse with standard carve-outs and features a 30-year amortization period and a 9.5-year yield maintenance provision.
The portfolio includes 11 small residential properties, four multifamily communities, and 26 single-family rental homes. The scattered portfolio encompasses a 5-unit community at 914 E. Market St. and a 23-unit property at 2 Peddicord Ave. that the borrower acquired in August and November 2021. Both communities have undergone renovations over the past year.
All properties are located in Washington Court House, Ohio, except for one single-family rental home in neighboring Bloomingburg, 6 miles away.
Brandon Ramineh, director of capital markets at Janover, coordinated the deal. “Despite the scattered nature of the properties, we were able to secure favorable financing through a lender specializing in single-family rentals, small residential properties, and multifamily communities,” Ramineh said. “The borrower wanted to refinance this portfolio to consolidate three existing debts and use the remaining amount to grow its portfolio and implement further upgrades at the existing properties.”
Refinancing Properties in Times of Uncertainty
As debt continues to become more expensive, it’s important for property investors to prepare for the challenges ahead. Some of the strategies investors can implement during these times include refinancing into long-term, fixed-rate debt to protect against volatile market conditions.
At the same time, refinancing a property can also allow borrowers to tap into equity accumulated over the years, which can be used to upgrade properties, leading to better tenant experience and resulting in lower vacancy rates — a necessity during uncertain times.