AION Mid-Atlantic I Portfolio Refinance Update
March 15, 2018: NEW YORK, NY – AION Partners is pleased to announce that it successfully refinanced 10 existing Freddie Mac (formally, the “Federal Home Loan Mortgage Corporation”) mortgages secured by 2,176 apartment units throughout Delaware, New Jersey, and Pennsylvania (“Mid-Atlantic I Portfolio”) on March 28, 2018. The Portfolio obtained $150.1 million in aggregate loan proceeds, far exceeding AION’s initial expectations. The new 10-year senior mortgage financing replaces $100.5 million of existing senior debt as well as $43.3 million of preferred equity. Meridian Capital Group arranged the financing through Capital One Multifamily Finance and Freddie Mac.
AION originally acquired the Mid-Atlantic I Portfolio in December 2015 for $165.4 million and from American International Group, Inc. (NYSE: AIG) and Morgan Properties. The Portfolio was initially comprised of 12 garden-style apartment buildings containing 2,811 units located in Delaware, New Jersey, and Pennsylvania though AION sold a 9-unit property in Maplewood, NJ in March 2016, reducing the Portfolio’s unit count to 2,802. One apartment community located in Harrisburg, PA was not included in this refinance as AION is under contract to sell the asset. The subsequent transaction is scheduled to close in the second quarter.
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About AION Management:
AION Management was formed in 2017 to create a “Best in Class” property management company dedicated to providing excellent customer service and value to our residents and committed to maximizing the value of our real estate assets through modern and functional renovations that our residents with unparalleled options in their homes. For more information about AION Management, please visit www.aionmanagement.com.