BWE Secures $69.13 Million in Multifamily Financing Across Alabama and Indiana
BWE, a national commercial and multifamily mortgage banking company, has arranged $69,130,000 in financing across three loans for multifamily properties in Alabama and Indiana, the firm announced Aug. 6, 2026.
Joe Solomos, Senior Vice President in BWE's Denver office, and Grant Sternberg, Assistant Vice President in BWE's Louisville office, originated the loans on behalf of a longtime client whose goal was to acquire two new assets. All three loans closed within 33 days of each other to meet purchase contract deadlines.
Deal Structure: Recycling Equity to Fund Acquisitions
The financing package was structured to allow the borrower to fund two acquisitions without contributing additional cash out of pocket. BWE secured two cash-out refinance loans against the borrower's existing Indiana multifamily properties, generating the equity needed for the acquisitions. BWE also arranged one acquisition loan on a southern Alabama multifamily property, drawing on its correspondent relationship with a life insurance company lender to achieve 75% loan-to-value — the maximum leverage available from that lender.
Solomos and Sternberg worked with two different lenders to tailor each loan to the borrower's strategy for the respective asset, while negotiating minimal prepayment penalties to give the borrower flexibility to act on favorable market conditions in the future.
Loan-by-Loan Breakdown
The three loans are structured as follows:
$21,380,000 — Southern Alabama Acquisition: Financed by a life insurance company, this non-recourse loan carries a 5-year term, 30-year amortization, and prepayment flexibility. The loan was used to acquire a multifamily property in southern Alabama.
$33,750,000 — Southern Indiana Cash-Out Refinance: Also financed by a life insurance company, this non-recourse loan provides permanent financing on a multifamily property in southern Indiana. It features a 10-year term, a 5-year interest-only period followed by 30-year amortization, and was structured to generate acquisition equity for the borrower.
$14,000,000 — Central Indiana Cash-Out Refinance: Financed by a credit union, this loan provides bridge financing on a multifamily property in central Indiana. It carries a 5-year term, 30-year amortization, and full prepayment flexibility, and was also structured to generate acquisition equity.
The use of two distinct lenders — a life insurance company for the long-term, non-recourse permanent loans and a credit union for the flexible bridge execution — reflects a deliberate lender-specialization approach tailored to each asset's role in the borrower's portfolio strategy.
Execution and Timing
Coordinating three separate loans across multiple lenders and aligning closings with purchase contract deadlines presented significant logistical complexity. BWE managed the flow of funds and due diligence across the various parties, relying on established lender relationships to keep all three closings on schedule and on terms. The borrower was able to close the acquisitions as a reliable, well-capitalized buyer, the firm said.
"At BWE, the depth of our capital platform and strength of our relationships allow us to partner with clients to solve puzzles like this one," Solomos said. "Our goal is always to help our clients execute their business plan with the best financing available. Even with this deal's many moving parts, our client counted on us to handle the critical elements that fueled a great opportunity for portfolio growth, and we're grateful for their trust."
Market Context
The transaction reflects a broader trend among multifamily sponsors using cash-out refinances on stabilized assets to fund acquisitions at a time when raising fresh equity has become more difficult and expensive. The structure allows borrowers to unlock trapped equity from existing holdings rather than seek new capital contributions.
Southern Alabama multifamily markets have seen elevated deliveries in recent years, with vacancy rates rising from tight 2021–2022 levels and rent growth moderating to low-to-mid single-digit annual gains, consistent with broader Sun Belt trends. Relative affordability compared with higher-cost Sun Belt peers has continued to attract debt capital to the region.
The prepayment flexibility negotiated on two of the three loans positions the borrower to refinance again should interest rates decline or agency execution become more attractive.
BWE operates from more than 40 offices nationwide with a national servicing platform.
Sources
BWE — BWE Secures $69 Million to Finance Multifamily Properties in Alabama and Indiana