Newmark Arranges $525 Million Refinancing for Flexible Living Apartment Portfolio Operated by Sentral
Newmark Group (NMRK) has arranged a landmark $525 million refinancing for a portfolio of six apartment properties operated by Sentral on behalf of ICONIQ Capital. The first-of-its-kind single-asset, single-borrower CMBS loan, provided by Deutsche Bank and Goldman Sachs, covers 1,790 units across major urban markets. 25% of the units operate under a 'flexible living' strategy, offering furnished accommodations for short- or mid-length stays.
The portfolio includes properties in Denver, Chicago, Nashville, Miami, and Austin. Sentral, established in 2019, manages over 10,000 units for ICONIQ and other institutional owners, with a track record of outperforming traditional apartment operations. This transaction represents a significant validation of the flexible living model as an institutional asset class.
Newmark Group (NMRK) ha negoziato un rifinanziamento di $525 milioni per un portafoglio di sei proprietà residenziali gestite da Sentral per conto di ICONIQ Capital. Si tratta di un prestito CMBS unico nel suo genere, a singolo prestatore e su un singolo asset, fornito da Deutsche Bank e Goldman Sachs, che copre 1.790 unità in importanti mercati urbani. Il 25% delle unità è dedicato a una strategia di 'living flessibile', offrendo sistemazioni arredate per soggiorni brevi o di medio termine.
Il portafoglio include immobili a Denver, Chicago, Nashville, Miami e Austin. Sentral, fondata nel 2019, gestisce oltre 10.000 unità per ICONIQ e altri proprietari istituzionali, con un curriculum che supera le prestazioni delle operazioni residenziali tradizionali. Questa transazione rappresenta una significativa convalida del modello di living flessibile come una classe di attivi istituzionali.
Newmark Group (NMRK) ha organizado un emblemático refinanciamiento de $525 millones para un portafolio de seis propiedades de apartamentos operadas por Sentral en nombre de ICONIQ Capital. Este préstamo CMBS, el primero de su tipo a un solo activo y a un solo prestatario, proporcionado por Deutsche Bank y Goldman Sachs, cubre 1,790 unidades en importantes mercados urbanos. El 25% de las unidades opera bajo una estrategia de 'vida flexible', ofreciendo alojamientos amueblados para estancias cortas o de media duración.
El portafolio incluye propiedades en Denver, Chicago, Nashville, Miami y Austin. Sentral, establecida en 2019, gestiona más de 10,000 unidades para ICONIQ y otros propietarios institucionales, logrando un historial superior al de las operaciones tradicionales de apartamentos. Esta transacción representa una validación significativa del modelo de vida flexible como una clase de activo institucional.
Newmark Group (NMRK)는 ICONIQ Capital을 대신하여 Sentral이 운영하는 6개의 아파트 자산 포트폴리오에 대해 5억 2,500만 달러 규모의 기념비적인 재정 지원을 조정했습니다. 독일은행과 골드만삭스가 제공한 이 최초의 단일 자산 단일 차입자 CMBS 대출은 주요 도시 시장에 걸쳐 1,790개의 유닛을 커버합니다. 유닛의 25%는 '유연한 생활' 전략에 따라 운영되어 짧거나 중간 길이 체류를 위한 가구가 갖춰진 숙소를 제공합니다.
포트폴리오는 덴버, 시카고, 내슈빌, 마이애미 및 오스틴에 있는 부동산을 포함합니다. 2019년에 설립된 Sentral은 ICONIQ 및 기타 기관 소유자를 위해 10,000 유닛 이상을 관리하며, 전통적인 아파트 운영을 능가하는 성과를 보이고 있습니다. 이번 거래는 유연한 주거 모델이 기관 자산 클래스로서 중요한 검증 역할을 함을 나타냅니다.
Newmark Group (NMRK) a organisé un refinancement de 525 millions de dollars qui constitue un jalon pour un portefeuille de six propriétés d'appartements gérées par Sentral au nom d'ICONIQ Capital. Ce prêt CMBS unique, à actif unique et emprunteur unique, fourni par Deutsche Bank et Goldman Sachs, couvre 1 790 unités dans des marchés urbains majeurs. 25 % des unités fonctionnent selon une stratégie de 'vie flexible', proposant des logements meublés pour des séjours de courte ou de moyenne durée.
Le portefeuille inclut des propriétés à Denver, Chicago, Nashville, Miami et Austin. Sentral, fondée en 2019, gère plus de 10 000 unités pour ICONIQ et d'autres propriétaires institutionnels, avec un bilan de performances surpassant les opérations d'appartements traditionnels. Cette transaction représente une validation significative du modèle de vie flexible en tant que classe d'actifs institutionnels.
Newmark Group (NMRK) hat eine wegweisende Refinanzierung von 525 Millionen Dollar für ein Portfolio von sechs Wohnimmobilien, die von Sentral im Auftrag von ICONIQ Capital betrieben werden, arrangiert. Das erste seiner Art - ein CMBS-Darlehen für einen einzelnen Vermögenswert und einen einzelnen Kreditnehmer - wurde von der Deutsche Bank und Goldman Sachs bereitgestellt und deckt 1.790 Einheiten in großen städtischen Märkten ab. 25% der Einheiten werden nach einer 'flexiblen Wohnstrategie' betrieben und bieten möblierte Unterkünfte für Kurz- oder Langzeitaufenthalte an.
Das Portfolio umfasst Immobilien in Denver, Chicago, Nashville, Miami und Austin. Sentral, gegründet im Jahr 2019, verwaltet über 10.000 Einheiten für ICONIQ und andere institutionelle Eigentümer und hat eine Erfolgsbilanz, die traditionelle Wohnoperations übertrifft. Diese Transaktion stellt eine bedeutende Bestätigung des Modells für flexibles Wohnen als institutionelle Anlageklasse dar.
- Secured substantial $525 million refinancing deal
- Portfolio outperforms traditional apartment operations
- Manages over 10,000 units across major urban markets
- Flexible living model validated as institutional asset class
- None.
Insights
This
The deal's terms, allowing operational flexibility while maintaining institutional-grade financing, suggests growing market acceptance of the flexible living model. This could potentially lead to broader adoption and easier access to capital for similar properties, potentially expanding the addressable market for companies like Newmark. For NMRK shareholders, this transaction not only generates immediate fee revenue but also positions the company as a pioneer in an emerging real estate segment.
The transaction marks a pivotal moment in the evolution of multifamily real estate financing. By securing institutional backing for a flexible living portfolio across six major urban markets, this deal creates a precedent for valuing hybrid-use properties. The involvement of CMBS investors suggests that the risk profile of flexible living assets is becoming more aligned with traditional multifamily properties, potentially leading to more competitive financing terms for the sector.
Sentral's management of over 10,000 units and their track record of outperformance validates the business model's scalability. This could drive increased demand for similar financing structures and advisory services in the flexible living space, benefiting firms like Newmark that have demonstrated expertise in this niche.
First-of-its-kind single-asset, single-borrower ("SASB") transaction validates flexible apartment properties as an institutional asset class
The transaction is tied to a portfolio of six apartment properties totaling 1,790 units in vibrant urban markets. Sentral operates each asset in the portfolio, including approximately
"This is a milestone transaction representing a significant validation of the flexible living model as an institutional asset class," said
Sentral was created in 2019 to deliver flexibility to consumers and allow them to live on their own terms in high-quality multifamily assets in the most dynamic cities across the country. As the operator of the six properties included in this transaction, the company has developed a track record of strong results that have outperformed results from traditional apartment operations. Sentral now manages over 10,000 units in a third party capacity on behalf of ICONIQ and other institutional owners.
Roman Speron, President of Sentral, said, "While furnished short- and mid-term rentals are relatively new to the Class A multifamily sector, consumer demand has been strong for many years. Sentral provides a way to capture this demand, manage and optimize results for institutional apartment owners and enhance satisfaction for long-term residents too."
"ICONIQ's SASB transaction, and the pricing transparency that it provides, affirms that Sentral's flexible apartment assets are treated very similarly to traditional apartment buildings from a capital markets perspective," said Fishel. "Over time, we expect flexible apartment assets to be valued in line with traditional apartment assets given the consistent increased yield premiums the Sentral platform is able to generate relative to traditional apartments."
Gibson Dunn and Latham & Watkins also advised on the transaction.
About Sentral
Sentral is the leading Class-A multifamily property management company that drives Net Operating Income for owners through differentiated operating capabilities. The company provides full-cycle property and asset management services on over
About ICONIQ Capital
ICONIQ Capital is a global investment firm elevated by an extraordinary community. With over
About Newmark
Newmark Group, Inc. (Nasdaq: NMRK), together with its subsidiaries ("Newmark"), is a world leader in commercial real estate, seamlessly powering every phase of the property life cycle. Newmark's comprehensive suite of services and products is uniquely tailored to each client, from owners to occupiers, investors to founders, and startups to blue-chip companies. Combining the platform's global reach with market intelligence in both established and emerging property markets, Newmark provides superior service to clients across the industry spectrum. For the twelve months ended September 30, 2024, Newmark generated revenues of approximately
Discussion of Forward-Looking Statements about Newmark
Statements in this document regarding Newmark that are not historical facts are "forward-looking statements" that involve risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements. These include statements about the Company's business, results, financial position, liquidity, and outlook, which may constitute forward-looking statements and are subject to the risk that the actual impact may differ, possibly materially, from what is currently expected. Except as required by law, Newmark undertakes no obligation to update any forward-looking statements. For a discussion of additional risks and uncertainties, which could cause actual results to differ from those contained in the forward-looking statements, see Newmark's Securities and Exchange Commission filings, including, but not limited to, the risk factors and Special Note on Forward-Looking Information set forth in these filings and any updates to such risk factors and Special Note on Forward-Looking Information contained in subsequent reports on Form 10-K, Form 10-Q or Form 8-K.
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