Loan Closings

Carmel, Indiana-based PR Mortgage & Investment Corp. (“PR Mortgage”) secures financing for the development of a $28.5 million workforce housing community in Indianapolis. This unique “workforce” housing development is a joint venture between Strategic Capital Partners, LLC and Goodwill of Central & Southern Indiana. The plans include constructing 208 units comprised of studios, one- and two-bedrooms, at the southwest corner of West Michigan Street and White River Parkway, in the River West neighborhood. The project is targeted toward middle-income workers who want to live within one mile of their workplace but who can’t afford higher downtown rents. “Strategic Capital Partners is a valued client and we appreciate the opportunity to assist in the development of this housing community.  Our ability to provide construction financing through our parent company, Merchants Bank while advising on options for permanent debt at stabilization, creates a seamless process from application to closing. Riverview Apartments are a value-add to downtown Indianapolis, providing housing options for middle-income workers, contributing to the vitality of the community”, said Michael R. Dury, President of PR Mortgage. “SCP was fortunate to have such a strong partner in PR Mortgage on this complex transaction.  The team at PR showed a solutions-driven mindset leading up to closing and their execution was the lynchpin in allowing this project to move forward.  We thank them for their continued advocacy of this important development”, said John Sweet, Chief Investment Officer of Strategic Capital Partners. All the units are reserved for those with incomes between 61 percent and 120 percent of the area median income which is currently $30,000 to $60,000 annually. The development will include a fitness center, free onsite parking and outdoor amenities.

Carmel, INDIANA (5/17/2017) – PR Mortgage & Investments, together with its parent company Merchants Bank of Indiana partnered with Birge & Held Asset Management, LLC to provide financing for Lakeshore Apartments, a multifamily property located in Indianapolis, Indiana.  Financing of the acquisition of the property was completed with a bridge loan through Merchants Bank of Indiana in September 2016.  In May 2017, permanent financing was provided through an FHA 223(f) loan via PR Mortgage & Investments.  PR Mortgage & Investments is proud to partner with Birge & Held Asset Management, LLC and its affiliates (the borrower) to serve residents in their community.  This acquisition represents the largest closing in company history for PR Mortgage, the largest sale in the City of Indianapolis, and the second largest in the State of Indiana. The property contains 740 residential dwelling units originally built in 1988.  With financing provided by the FHA loan, Lakeshore’s $12.6 million renovation project will include new HardiePlank® siding on all buildings, exterior painting, clubhouse and common area upgrades, roof replacement, new gutters and downspouts, and other grounds improvements.  In all apartment homes, renovations include: installation of new kitchen and bathroom cabinets, countertops, new lighting and hardware, new flooring in apartment common areas, new appliances, and interior painting. “Birge & Held is a valued client of PR Mortgage and we appreciate the opportunity to assist in their growth.  Having made them one of their first loans, PR has been fortunate to help them expand their portfolio to over 5,300 units today.  They are experts in implementing a value-add rehab strategy in conjunction with FHA’s 223(f) program, which allows them to leverage the improvements and lock in historic low interest rates for 35 years.  The seamless process from the time of acquisition with the Merchants Bank loan to closing of the PR Mortgage FHA loan allows them to be efficient with their resources.  Birge & Held also has an incredible asset management team that manages the properties long term after the rehab is complete.  It is a win-win for all parties, especially the residents of each community”, said Michael R. Dury, Executive Vice President and COO of PR Mortgage & Investments. PR Mortgage has had a relationship with Birge & Held principals, J. Taggart Birge and Andrew J. Held, since 2012.  The principals own and operate their multifamily properties through their management company, Birge & Held Asset Management, LLC. “PR Mortgage & Investments continues to prove itself as a consistent and dedicated finance provider, and working with the team on the closing of the loan for Lakeshore Apartments has been an excellent collaborative process,” said Andrew Held, Principal of Birge & Held Asset Management LLC. Both Merchants Bank of Indiana and PR Mortgage & Investments appreciate the opportunity to work with Birge & Held Asset Management, LLC and look forward to providing more service in the future.

Carmel, INDIANA (1/18/2017) – PR Mortgage & Investments (PR) is proud to announce record results for 2016.  The company finished the year with more than $1.17 billion in mortgage originations, the second highest in the company’s 26 year history, 20,931 total housing units, and 152 total loans. The key highlights of these record performance numbers consisted of Affordable Housing Financings at 30% of total volume, the highest in company history.  Loan volume for 221(d)4 financings exceeded $161 million with 1,957 total housing units.  Also, more than $505 million in loans, 43% of total volume, were closed using Merchants Bank of Indiana, the parent company of PR Mortgage & Investments. PR Mortgage’s servicing portfolio volume also hit record performance numbers in 2016 with 944 active loans exceeding $6 billion, the highest in company history. “We at PR Mortgage are very proud of our accomplishments in 2016 and share in our success with our customers and banking partners. Utilizing Merchants Bank of Indiana in conjunction with FHA and the GSE’s have given us a competitive advantage and provides very competitive financing options for our clients. With the continued growth of the bank and competitive GNMA pricing, we expect momentum to continue in 2017,” said Mike Dury, COO of PR Mortgage & Investments. PR Mortgage & Investments is headquartered in Carmel, Indiana. PR is an approved FHA Mortgagee and is an approved Multifamily Accelerated Processing (MAP) lender for HUD.  PR Mortgage is also a Rural Housing Service (RHS) approved lender for the Section 538 program.  The company is a Government National Mortgage Association (GNMA) Issuer of Mortgage Backed Securities (MBS).  These agencies offer secondary market programs that provide a full range of loan structures for multifamily rental projects and health care facilities. Through these programs, PR Mortgage & Investments can provide acquisition, refinance, rehabilitation, and new construction loans.  These programs offer competitive long-term, fixed-rate loans that meet the needs of our clients.  Through its parent company (Merchants Bank of Indiana), PR Mortgage offers floating and fixed rate interim construction and acquisition/rehab loans.

Congratulations to PR Mortgage & Investments and the Evansville Housing Authority for closing two RAD projects; the first projects successfully closed in the state of Indiana utilizing RAD alongside the FHA 221(d)4 program.  RAD, which stands for Rental Assistance Demonstration, allows PHAs (Public Housing Authority) and owners of HUD-assisted housing to preserve and improve affordable housing units that could be subject to vouchers and demolition.  These types of deals provide a greater funding certainty for potential lenders and increase the operational flexibility for PHAs and owners to service their communities.  PR Mortgage & Investments is proud to assist the Evansville Housing Authority in their quest to provide affordable housing and serve residents in their community. Located in Evansville, Indiana, the subject properties contain over 700 units which provide public housing for seniors.  Originally built between 1965 and 1971, the properties will be substantially rehabilitated using the financing provided by PR Mortgage & Investments. The complete rehab will include installation of geo-thermal HVAC systems, replacement of sanitary sewer risers, new signage, repairs to exterior and interior buildings, installation of new fire alarm systems as well as other needed maintenance. The properties will be modernized and energy efficient.  The cost associated with the combined rehab was approximately $18 million.  With these improvements, the properties will be able to provide affordable housing for years to come.

Carmel, INDIANA (1/15/2016) – PR Mortgage & Investments (PR) is proud to announce record results for 2015.  The company finished the year with more than $1.15 billion in mortgage originations, the second highest in the company’s 25 year history. The key highlights of these record performance numbers consisted of more than $416 million in Affordable Housing Financings, the highest in company history, 21,423 total housing units, and 151 total loans.  More than $340 million in loans were closed using Merchants Bank of Indiana, the parent company of PR Mortgage & Investments. “We at PR Mortgage are very proud of our accomplishments in 2015 and share in our success with our customers and banking partners. Utilizing Merchants Bank of Indiana in conjunction with FHA has given us a competitive advantage and provides one of the best financing vehicles for our clients. With the continued growth of the bank and the launch of FHA’s new Small Balance Risk Sharing Program, we expect momentum to continue in 2016,” said Mike Dury, COO of PR Mortgage & Investments. PR Mortgage & Investments is headquartered in Carmel, Indiana. PR is an approved FHA Mortgagee and is an approved Multifamily Accelerated Processing (MAP) lender for HUD.  PR Mortgage is also a Rural Housing Service (RHS) approved lender for the Section 538 program.  The company is a Government National Mortgage Association (GNMA) Issuer of Mortgage Backed Securities (MBS).  These agencies offer secondary market programs that provide a full range of loan structures for multifamily rental projects and health care facilities. Through these programs, PR Mortgage & Investments can provide acquisition, refinance, rehabilitation, and new construction loans.  These programs offer competitive long-term, fixed-rate loans that meet the needs of our clients.  Through its parent company (Merchants Bank of Indiana), PR Mortgage offers floating and fixed rate interim construction and acquisition/rehab loans.

PR Mortgage & Investments (PR) is proud to announce the closing of Castle Point Apartments, located just north of the University of Notre Dame. The project was constructed in phases from 1974 to 1980 and has been a landmark in the South Bend community for years. The acquisition involves about $5 million of rehab including clubhouse renovations, interior unit renovations (lighting, flooring, countertops, appliances), installing new washer and dryers, exteriors renovations, and new carports. The buyer, an affiliate of Metonic Real Estate Solutions, purchased the project with convention bridge financing through Merchants Bank of Indiana, the parent company to PR Mortgage. PR Mortgage refinanced the bridge loan with long-term debt through FHA through their 223 (f) permanent loan program. “We at PR Mortgage are very pleased to contribute to such a great acquisition strategy. Metonic’s expertise on the construction and management side will allow for a seamless rehab process and ensure the long-term viability of the project for the residents of the South Bend community,” said Mike Dury, COO of PR Mortgage & Investments. The two-step process allowed Metonic to purchase the project quickly through MBI and then process the loan efficiently through PR Mortgage with FHA to lock in these historically low fixed rates. “The leverage, fully amortizing debt and non-recourse are very attractive and this two-step loan process is one of the most competitive products on the market,” said Dury. Metonic Real Estate Solutions is based in Omaha, Nebraska. The principals have participated in the acquisition, financing, asset management and disposition of more than $2 billion of real estate. This is their second project in Indiana. Both projects were financed by PR Mortgage & Investments.

PR Mortgage & Investments with multifamily specialist Barrett & Stokely Inc. is proud to provide financing through our parent company, Merchants Bank of Indiana, for a new luxury multifamily apartment community in Carmel Indiana.  The Seasons of Carmel, located at Westfield Boulevard and 98th Street, is a 14 building, 256 unit complex on 21 acres.  The Seasons was designed to mimic an upscale luxury resort and boasts an exquisite amenity package. The community is located on the new Lenape Trail, an extension of the Monon Trail.  Each apartment home features top of the line finishes.  Community amenities include a salt water pool and sunning ledges, a two-story fitness center, outdoor grilling lounge, and fire pits.  In addition, every apartment will have the option for garage parking.  The first units became available in April 2015. PR Mortgage & Investments is celebrating 25 years in business.  Our origination team leverages experience and expertise to provide financing for the development and expansion of multifamily housing projects throughout the Midwest.

PR Mortgage originated and closed a bridge loan through our parent company, Merchants Bank of Indiana, allowing Herman & Kittle to acquire a 378-unit apartment community located on the northeast side of Indianapolis. The MBI loan acts as a bridge to the permanent FHA-insured loan that closed in the first quarter of 2014; and has allowed our client greater flexibility on the timing of the acquisition. Through the FHA loan, the new owner plans to make moderate improvements to the property while taking advantage of a low interest rate and 35-year amortization on HUD’s non-recourse Section 223(f) loan program. The bridge loan and HUD 223(f) loan applications were processed simultaneously to ensure the HUD process could get underway as quickly as possible. Additionally, all HUD 3rd party reports were used for the bridge loan, saving our client time and money. Contact your Loan Originator today to ask how the MBI Bridge Loan Program can work for you!