Gantry, the largest independent commercial mortgage banking firm in the U.S., has secured $35.6 million in two permanent loans to refinance existing debt on two mature manufactured housing communities located in the in the southern portion of the Napa Valley.   The two properties offer over 400 manufactured homesites maintained with onsite management, with both offering a club house, pool, sports courts, additional RV storage, and other amenities.

Gantry’s Patrick Barkley, Principal, Andy Mekjavich, Principal, Chad Metzger, Senior Associate, and Andrew Christopherson, Associate, represented the borrower, an experienced, privately held sponsor-operator. The five-year, non-recourse, fixed rate loans were provided by one of Gantry’s correspondent insurance companies. Gantry will service the loans on behalf of the lender.

According to Gantry’s Patrick Barkley, “Manufactured housing continues to attract the attention of Gantry’s correspondent insurance lenders and their stable permanent debt programs. We are seeing attractive options in the current rate climate for five, seven and ten-year options. They understand the operating model, have a track record with Gantry underwriting these properties, and see the opportunity to diversify allocations in pursuit of yield. Both these assets were originally developed in the 1970s, and through key locations and attentive management continue to thrive with stable, time-tested cash flows in a housing category with strong long-term fundamentals supported by relative affordability.”