New York, NY — April 4, 2025 — Lument has announced the closing of a $17.9 million U.S. Department of Housing and Urban Development (HUD)/Federal Housing Administration (FHA) Section 221(d)(4) loan for the sub-rehabilitation of Hollywood West Apartments, an 84-unit, multifamily rental-assisted property located in Los Angeles, California. Richard Andrews, senior managing director with Lument based in San Diego, California, led the transaction.
“Lument was able to finance the predevelopment costs and fund the FHA construction-to-permanent loan in order to preserve the 100-year-old property,” said Lument’s Andrews. “This was a complex transaction where our experience with HDSI Management and Development and HUD helped to protect these subsidized units that could have been lost.”
Located in an opportunity zone, the property was originally built in 1920 and contains 84 multifamily units ranging from 414 to 688 square feet. The property benefits from a Section 8 Housing Assistance Payments (HAP) contract on 79 of the 84 total units.
The FHA loan features a competitive fixed interest rate and a 40-year amortization.
About Lument
Lument, a subsidiary of ORIX Corporation USA, is a national leader in commercial real estate finance and delivers a comprehensive set of capital solutions customized for investors in multifamily, affordable housing, and seniors housing and healthcare real estate. Lument offers Fannie Mae, Freddie Mac, FHA, USDA, and balance sheet financing, as well as a full suite of capital market lending products. In addition, Lument provides a suite of real estate advisory solutions including real estate investment sales, investment banking, and investment management solutions. The company has approximately 600 employees in over 30 offices across the United States.
Securities, investment banking, and advisory services are provided through Lument Securities, LLC, member FINRA/SIPC. Lument Investment Management, LLC, is registered as an investment adviser with the U.S. Securities and Exchange Commission. For more information, visit https://www.lument.com/.
