Los Angeles, January 26, 2023 – Veleta Capital Partners (VCP), a Los Angeles-based institutional small balance apartment platform, provided a senior secured, floating-rate bridge loan of $12.6 million for the refinance and renovation of an existing 42-unit apartment in Northridge, California. The sponsor previously acquired the Valleywood Apartments in 2020 for $14.9 million from an undisclosed private owner.
Veleta Capital Partners’ financing will facilitate the completion of an in-progress interior unit renovation strategy, and the conversion of existing garage space into 10, city-approved, accessory dwelling units (ADUs).
“Veleta Capital Partners continues to advance our apartment lending strategy, providing acquisition, runway, and situational capital to apartment investors and sponsors. We’re delivering short-term financing and certainty of execution to quality sponsors in an uncertain market,” said Brian Murphy, CEO of Veleta Capital. “In this case, the sponsor is a highly experienced owner that required additional time and capital to complete the renovation and conversion plan for the asset. We support apartment investors that are working to meet housing demand in supply-constrained markets like Los Angeles.”
The Lassen St. property features six one-bedroom/one-bathroom units and 36 two-bedroom/two-bathroom units. The site is across the street from California State University, Northridge, which has the largest undergraduate population of the 23-campus Cal State University System.
