Category: Berkadia

(BRK.A), (BRK.B)

Berkadia, Berkshire Hathaway’s joint venture with Jefferies Financial Group, has announced the sale of the Killeen-Corpus Christi Portfolio, a 544-site manufactured housing portfolio in Killeen, Corpus Christi, and Huntsville, Texas markets.

Managing Director Ian Hilpl, Senior Managing Director Kevan Enger, and Directors Brian Hummell and Hunter LaRocca of Berkadia Manufactured Housing led the transaction on behalf of the seller.

The Kileen-Corpus Christi Portfolio consists of four manufactured housing communities in Central and East Texas consisting of the following properties:

• Gateway MHC is a 259-site community located at 1545 N Lexington Blvd, Corpus Christi, Texas.
• Clear Creek is a 126-site community located at 6000 S Clear Creek Road, Killeen, Texas.
• Cimarron Park Estates is a 98-site community located at 1400 E Ave H 74B, Nolanville, Texas.
• Hidden Valley is a 61-site community located at 3307 Powell Road, Huntsville, Texas.

“The portfolio was an attractive acquisition for the buyer as Texas is a primary target market and this offered them immediate scale across multiple well performing MSA’s,” said Hilpl, the lead broker on the sale. “The portfolio offered multiple value-add opportunities to increase performance across the four communities.”

© 2024 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell a stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.

(BRK.A), (BRK.B)

Berkadia, Berkshire Hathaway’s joint venture with Jefferies Financial Group, completed the financing of Vanguard Landing, a 128-bedroom community to be developed in Virginia Beach, Virginia. Senior Managing Director John Reed of Berkadia Richmond and Managing Director John Richards of Berkadia Norfolk secured $31.85 million in construction/permanent financing through Virginia Housing Development Authority on behalf of the non-profit developer, Virginia Beach-based Vanguard Landing, Inc. The deal closed on April 29.

The 40-year loan featured a 6.25 percent permanent interest rate and a 40-year amortization schedule.

“This is a ‘first of its kind’ development in the Commonwealth of Virginia and thus the first property financed by Virginia Housing,” said Reed. “This fact alone presented some challenges for all parties involved throughout a very lengthy process. The fact that we were able to get this done testifies to the worthiness of this project, in addition to the perseverance of the Berkadia, Vanguard Landing, and Virginia Housing teams.

“At the end of the day, this development allowed Virginia Housing to fulfill one of its missions to provide housing for individuals with intellectual and developmental differences and will be the first of its kind in Virginia, and we are proud to present this opportunity to them,” said Richards. “We look forward to the Vanguard team getting the project built and completed and perhaps working with them on additional like-communities elsewhere in Virginia.”

© 2024 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell a stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.

(BRK.A), (BRK.B)

Berkadia, Berkshire Hathaway’s joint venture with Jefferies Financial Group, named Andy Wimsatt Senior Managing Director and Head of Berkadia Hotels & Hospitality.

Wimsatt will be based in the DC Metro office and will report to EVP – Head of Capital Markets and Production Hilary Provinse. Wimsatt joined Berkadia on July 17.

“We’re thrilled to have Andy join Berkadia and lead the Hotels & Hospitality team. Andy brings decades of expertise and leadership experience in the hospitality sector, which will augment and complement Berkadia’s national platform of institutional, client-driven investment advisors, and mortgage bankers,” Provinse said. “Over the last three years, the team has strategically grown through the addition of senior hotel talent from other leading capital markets platforms.”

Prior to joining Berkadia, Wimsatt served as Managing Director at Eastdil Secured, where he focused on hotel equity and debt placement services. Over the course of his 30-year career, he has been involved in over $15 billion in transaction volume.

“Berkadia is well known for its unrivaled culture, and I am incredibly excited to be a part of the team,” Wimsatt said. “I’m joining an outstanding group of professionals who share a commitment to delivering exceptional client service while continuously expanding our footprint.”

Berkadia Hotels & Hospitality combines best-in-industry innovation, knowledge, and experience with the most comprehensive suite of products and services, backed by relentless customer service and support to empower clients to capitalize on the right opportunities at the greatest value. The group serves clients across the country, offering a full set of advisory, investment sales, underwriting and loan origination services and products including Life Company, Proprietary Bridge Lending and Capital Markets Advisory Services.

About Berkadia

Founded in 2009 as a 50/50 joint venture between Berkshire Hathaway and Leucadia National Corporation (now known as Jefferies Financial Group), Berkadia is a third-party commercial mortgage servicer, as well as an approved lender for Fannie Mae, Freddie Mac, and HUD/FHA.
The company is among the top Freddie Mac and Fannie Mae multifamily lenders.

Berkadia owes its origins to GMAC Commercial Mortgage Corporation, which was acquired in 2009 by Kohlberg Kravis Roberts & Co., Five Mile Capital Partners LLC, and Goldman Sachs Capital Partners. Christened Capmark Financial, the company had $10 billion of originations in 2008 and a servicing portfolio of more than $360 billion before running into bankruptcy in October 2009.

In a deal approved by the bankruptcy court, Capmark sold its mortgage loan and servicing to the newly formed Berkadia in a deal worth $515 million.

The deal brought Berkshire into the heart of the commercial loan serving business, and the company has one of the largest commercial real estate servicing portfolios.

© 2023 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.

(BRK.A), (BRK.B)

Berkadia, Berkshire Hathaway’s joint venture with Jefferies Financial Group, has formed a partnership with Rabbet, the leading provider of construction finance software, to double its servicing capacity.

Berkadia’s adoption of Rabbet’s platform aligns with their commitment to long-term investments in people and technology. With Rabbet, Berkadia FHA/HUD has doubled servicing capacity, improved processing times, and developed insights to better advise customers.

“Rabbet is committed to providing the tools to service even the most complex areas of construction finance, including HUD lending,” said Will Mitchell, CEO of Rabbet. “We are excited to partner with Berkadia to streamline their processes, increase efficiency, and better serve their customers.”

Berkadia Vice President of FHA Construction Ryan Duff, added, “This partnership is a key step in our efforts to grow our FHA construction lending business. By leveraging Rabbet’s technology, we are able to significantly increase our capacity to service this important market segment.”

“Our partnership with Rabbet, a member of Berkadia’s BeEngaged network, has allowed us to collaborate on long-term initiatives, and implement solutions that deliver excellent service to our clients,” said Berkadia Senior Vice President of FHA and Seniors Housing Finance.

Rabbet’s HUD servicing solution is the first and only HUD-focused solution of its kind. This technology allows HUD lenders to read forms like the 92448 and generate the 92403 and 92451 forms which are distinct to HUD. Rabbet’s HUD solution also gives users the ability to track and report on milestones for complex capital stacks. These features and others were specifically built to accelerate and optimize the operations specifically for HUD lenders.

About Berkadia

Founded in 2009 as a 50/50 joint venture between Berkshire Hathaway and Leucadia National Corporation (now known as Jefferies Financial Group), Berkadia is a third-party commercial mortgage servicer, as well as an approved lender for Fannie Mae, Freddie Mac, and HUD/FHA.

The company is among the top Freddie Mac and Fannie Mae multifamily lenders.

Berkadia owes its origins to GMAC Commercial Mortgage Corporation, which was acquired in 2009 by Kohlberg Kravis Roberts & Co., Five Mile Capital Partners LLC, and Goldman Sachs Capital Partners. Christened Capmark Financial, the company had $10 billion of originations in 2008 and a servicing portfolio of more than $360 billion before running into bankruptcy in October 2009.

In a deal approved by the bankruptcy court, Capmark sold its mortgage loan and servicing to the newly formed Berkadia in a deal worth $515 million.

The deal brought Berkshire into the heart of the commercial loan serving business, and the company has one of the largest commercial real estate servicing portfolios.

© 2023 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.

(BRK.A), (BRK.B)

Berkadia, Berkshire Hathaway’s joint venture with Jefferies Financial Group, has formed an alliance with global property consultancy Knight Frank that will offer the firms’ clients unmatched access to domestic and internationally-based capital while maximizing their property values.

“This newly-formed relationship between our two privately-held firms will have innumerable benefits for clients on both sides,” said Berkadia CEO Justin Wheeler. “Berkadia’s depth of industry knowledge and experience will flow seamlessly with Knight Frank’s vast global network and valuation expertise to shift our transaction life cycle into high gear.”

The alliance will offer clients connectivity to and relationships with the world’s most active investors, enabling true relationships with diverse capital sources.

“Together, we have created an alliance focused on our clients’ needs, providing strategic advice and delivering a range of best-in-class capital markets solutions,” said William Beardmore-Gray, Senior Partner & Group Chairman at Knight Frank. “But more than that, we have a shared view of the world, that independent long-term relationships offer a superior experience to all our clients. This is the beginning of a lasting partnership, one which will cultivate both our firms’ collective expertise and suite of services we can offer our global client base.”

Knight Frank and Berkadia offer a combined global network comprising more than 22,750 people across 558 offices in 57 territories, spanning all key capital hubs. Together, they will be one of the world’s leading multifamily brokers.

Knight Frank is an estate agency, residential and commercial property consultancy founded in London by John Knight, Howard Frank and William Rutley in 1896. Together with its American affiliate, Cresa, Knight Frank is one of the world’s largest global property consultancies.

About Berkadia

Founded in 2009 as a 50/50 joint venture between Berkshire Hathaway and Leucadia National Corporation (now known as Jefferies Financial Group), Berkadia is a third-party commercial mortgage servicer, as well as an approved lender for Fannie Mae, Freddie Mac, and HUD/FHA.

The company is among the top Freddie Mac and Fannie Mae multifamily lenders.

Berkadia owes its origins to GMAC Commercial Mortgage Corporation, which was acquired in 2009 by Kohlberg Kravis Roberts & Co., Five Mile Capital Partners LLC, and Goldman Sachs Capital Partners. Christened Capmark Financial, the company had $10 billion of originations in 2008 and a servicing portfolio of more than $360 billion before running into bankruptcy in October 2009.

In a deal approved by the bankruptcy court, Capmark sold its mortgage loan and servicing to the newly formed Berkadia in a deal worth $515 million.

The deal brought Berkshire into the heart of the commercial loan serving business, and the company has one of the largest commercial real estate servicing portfolios.

© 2023 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.

(BRK.A), (BRK.B)

Berkadia, Berkshire Hathaway’s joint venture with Jefferies Financial Group, the sale of and financing secured for Springs at Foothills Farm, a 264-unit garden-style multifamily community located in Colorado Springs, Colorado.

Senior Directors Nick Steele and John Laratta and Directors Nate Moyer and Tyler King of Berkadia Denver completed the $110.88 million record setting sale on behalf of the seller, Wisconsin-based Continental Properties Company, Inc. The buyer was California-based Hamilton Zanze & Company, and the deal closed on September 7. The sale of Springs at Foothills Farm represents the largest transaction in the history of Colorado Springs.

“This was an exciting asset to work on given the size and location,” said Steele. “It’s the largest single asset sale ever in Colorado Springs. Despite turbulent market conditions, we were able to procure more than 20 offers for the asset which speaks to the amount of interest for high quality, well located multifamily assets in Colorado. The fact that the transaction was consummated is a testament to the parties involved. We are grateful to have played a small part.”

Managing Director Clay Akiwenzie of Berkadia Incline Village secured $58.145 million in permanent acquisition financing on behalf of the buyer. The 10-year loan was financed through Freddie Mac.

“Closing on time on terms negotiated 90 days ago amidst such extreme capital markets volatility requires calm and seasoned hands on every edge of the transaction,” said Akiwenzie. “We had that here.”

About Berkadia

Founded in 2009 as a 50/50 joint venture between Berkshire Hathaway and Leucadia National Corporation (now known as Jefferies Financial Group), Berkadia is a third-party commercial mortgage servicer, as well as an approved lender for Fannie Mae, Freddie Mac, and HUD/FHA.

The company is among the top Freddie Mac and Fannie Mae multifamily lenders.

Berkadia owes its origins to GMAC Commercial Mortgage Corporation, which was acquired in 2009 by Kohlberg Kravis Roberts & Co., Five Mile Capital Partners LLC, and Goldman Sachs Capital Partners. Christened Capmark Financial, the company had $10 billion of originations in 2008 and a servicing portfolio of more than $360 billion before running into bankruptcy in October 2009.

In a deal approved by the bankruptcy court, Capmark sold its mortgage loan and servicing to the newly formed Berkadia in a deal worth $515 million.

The deal brought Berkshire into the heart of the commercial loan serving business, and the company has one of the largest commercial real estate servicing portfolios.

© 2022 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.

(BRK.A), (BRK.B)

Berkadia, Berkshire Hathaway’s joint venture with Jefferies Financial Group, has added Senior Managing Director Sabrina Solomiany to lead Berkadia’s newest specialty group, Medical & Life Sciences.

Solomiany will sit in the Atlanta office and will report to SVP – Deputy Head of Investment Sales Mike Miner.

“We’re thrilled to add to Berkadia’s capabilities with this new specialty group, adding to our suite of expertise,” said Miner. “Sabrina brings extensive experience in the U.S. healthcare and life science sectors and will be pivotal in expanding our footprint in this highly specialized space.”

“I’m excited to join Berkadia and build a national platform focused on delivering investment sales, debt placement and JV equity solutions for healthcare and life sciences investors,” said Solomiany. “Despite current market uncertainty, significant amounts of capital continue to pour into healthcare real estate, a sector that has been historically resistant to economic downturns.”

The new Medical & Life Sciences specialty will provide a comprehensive solution for the various specialties of healthcare real estate including medical office buildings, life sciences, hospitals, surgery centers, post-acute care and behavioral health facilities.

With over 20 years of experience, Solomiany has closed $8.2 billion in total transaction volume, including $6.5 billion of healthcare and life sciences transactions that totaled more than 22 million square feet.
Solomiany joins Berkadia from CBRE where she served as First Vice President and led the Debt & Structured Finance platform for U.S. Healthcare & Life Sciences Capital Markets. Prior to that she was a Senior Director with CBRE’s U.S. Healthcare investment sales team. She specializes in providing healthcare and life sciences real estate investors with acquisition, disposition, debt placement and recapitalization strategies. Ms. Solomiany’s expertise spans various specialties of healthcare real estate including medical office buildings, life sciences, inpatient rehabilitation facilities, short- and long-term acute care hospitals, behavioral health, surgical hospitals, cancer centers, proton therapy, specialty hospitals, free-standing emergency departments, micro hospitals and urgent cares. Her clients include REITs, institutional investors, healthcare providers, developers and private capital investors.

Solomiany received her Bachelor of Science from the University of Florida.

About Berkadia

Founded in 2009 as a 50/50 joint venture between Berkshire Hathaway and Leucadia National Corporation (now known as Jefferies Financial Group), Berkadia is a third-party commercial mortgage servicer, as well as an approved lender for Fannie Mae, Freddie Mac, and HUD/FHA.

The company is among the top Freddie Mac and Fannie Mae multifamily lenders.

Berkadia owes its origins to GMAC Commercial Mortgage Corporation, which was acquired in 2009 by Kohlberg Kravis Roberts & Co., Five Mile Capital Partners LLC, and Goldman Sachs Capital Partners. Christened Capmark Financial, the company had $10 billion of originations in 2008 and a servicing portfolio of more than $360 billion before running into bankruptcy in October 2009.

In a deal approved by the bankruptcy court, Capmark sold its mortgage loan and servicing to the newly formed Berkadia in a deal worth $515 million.

The deal brought Berkshire into the heart of the commercial loan serving business, and the company has one of the largest commercial real estate servicing portfolios.

© 2022 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.

(BRK.A), (BRK.B)

Berkadia, Berkshire Hathaway’s joint venture with Jefferies Financial Group, has secured in $235 million financing for The Woods, a 1,841-unit garden-style multifamily property located in San Jose, California.

Managing Director Andy Ahlers of Berkadia San Francisco secured the $235 million in permanent refinancing on behalf of the borrower, The Woods of San Jose LLC. The deal closed on June 6.

The long-term fixed-rate loan was financed through Freddie Mac.

“Berkadia worked with our lending partners at Freddie Mac to lock this loan’s interest rate back in March, well in advance of the required closing date in June,” said Ahlers. “Given the run-up in rates since March, this offered incredible value to the borrower in terms of interest rate risk mitigation.”

Located at 4300 The Woods Drive, The Woods features studio, one-, two- and three-bedroom floor plans with private patios or balconies. Community amenities include six swimming pools, multiple fitness centers and a basketball court. Residents are afforded convenient access to Los Lagos Golf Course, Raging Waters San Jose and the shops and restaurants along Monterey Road and East Capital Expressway.

About Berkadia

Founded in 2009 as a 50/50 joint venture between Berkshire Hathaway and Leucadia National Corporation (now known as Jefferies Financial Group), Berkadia is a third-party commercial mortgage servicer, as well as an approved lender for Fannie Mae, Freddie Mac, and HUD/FHA.

The company is among the top Freddie Mac and Fannie Mae multifamily lenders.

Berkadia owes its origins to GMAC Commercial Mortgage Corporation, which was acquired in 2009 by Kohlberg Kravis Roberts & Co., Five Mile Capital Partners LLC, and Goldman Sachs Capital Partners. Christened Capmark Financial, the company had $10 billion of originations in 2008 and a servicing portfolio of more than $360 billion before running into bankruptcy in October 2009.

In a deal approved by the bankruptcy court, Capmark sold its mortgage loan and servicing to the newly formed Berkadia in a deal worth $515 million.

The deal brought Berkshire into the heart of the commercial loan serving business, and the company has one of the largest commercial real estate servicing portfolios.

© 2022 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.

(BRK.A), (BRK.B)

While the Covid shutdown has many companies still trying to get their revenues back to pre-pandemic levels, one Berkshire Hathaway company is doing more business than ever.

Berkadia, Berkshire Hathaway’s joint venture with Jefferies Financial Group, has had a record-breaking investment sales year so far, closing more than $12 billion in investments sales across 400 transactions to date.

The Mid-Atlantic region alone has totaled more than $1 billion across 35 transactions.

This success comes on the heels of Berkadia’s increased commitment to serving institutional clients, who have played an outsized role in the industry’s post-COVID rebound.

At the start of the year, Berkadia acquired the apartment brokerage arm of Moran and Company, launching Berkadia Institutional Solutions, powered by Moran.

In January 2021, Berkadia forecast robust business in its annual webinar.

About Berkadia

Founded in 2009 as a 50/50 joint venture between Berkshire Hathaway and Leucadia National Corporation (now known as Jefferies Financial Group), Berkadia is a third-party commercial mortgage servicer, as well as an approved lender for Fannie Mae, Freddie Mac, and HUD/FHA.

The company is among the top Freddie Mac and Fannie Mae multifamily lenders.

Berkadia owes its origins to GMAC Commercial Mortgage Corporation, which was acquired in 2009 by Kohlberg Kravis Roberts & Co., Five Mile Capital Partners LLC, and Goldman Sachs Capital Partners. Christened Capmark Financial, the company had $10 billion of originations in 2008 and a servicing portfolio of more than $360 billion before running into bankruptcy in October 2009.

In a deal approved by the bankruptcy court, Capmark sold its mortgage loan and servicing to the newly formed Berkadia in a deal worth $515 million.

The deal brought Berkshire into the heart of the commercial loan serving business, and the company has one of the largest commercial real estate servicing portfolios.

© 2021 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.