At a glance
- The borrower is a Cheferkon Partners-led investment group.
- Brandon Baksh originated the loan, and the $42 million works out to about $230,000 a unit.
- Greg Chew, co-founder of Cheferkon Partners, said the anticipated lease-up schedule starts as buildings come online, building income that offsets some of the financing costs.
Dwight Capital originated a $42 million HUD 221(d)(4) construction loan for One Salem Apartments, a 184-unit project in Winston-Salem, N.C., Commercial Observer reported on Nov. 13. The borrower is a Cheferkon Partners-led investment group.
Brandon Baksh originated the loan, and the $42 million works out to about $230,000 a unit. The nonrecourse loan carries a fully amortizing 40-year term, which Dwight said gives the borrower long-term stability and predictable debt service.
That structure fixes debt service, leaving lease-up timing as the main variable while income arrives building by building. Greg Chew, co-founder of Cheferkon Partners, said the anticipated lease-up schedule starts as buildings come online, building income that offsets some of the financing costs. Dwight also runs a bridge lending business; as Private Wealth Daily previously reported, Dwight's Jai Agarwal said this month that borrowers are hesitant to lock long-term CMBS debt.
Full completion is slated for 2028, with the first building targeted for the third quarter of 2027. The garden-style complex on a 15-acre site at 119 Brookstown Avenue, four miles south of Wake Forest University, will have one- to three-bedroom units across eight buildings with detached garages. Cheferkon, based in Lilburn, Ga., is developing in North Carolina for the first time after a series of Atlanta-area projects. Co-founder Raihan Ferdous said the investment group has five other partners and that Cheferkon is looking to add more by the end of the year.
Reported by the Real estate debt desk from Commercial Observer. Published . Corrections