Dwight Capital and Dwight Mortgage Trust Close $663.2M in May Financing, Led by Record $114M HUD Loan for Milwaukee Office-to-Multifamily Conversion

Dwight Capital and its affiliate real estate investment trust Dwight Mortgage Trust (DMT) closed $663.2 million in commercial real estate financing transactions in May 2026, the firm announced — marking its strongest single month of production in 2026 to date. The portfolio spanned three states and included a record-setting HUD loan for an office-to-multifamily conversion, a ground-up multifamily development in Texas, and a mixed-use construction loan in New York.

Record HUD Loan Anchors Milwaukee Office-to-Multifamily Conversion

The headline transaction was a $114 million HUD 221(d)(4) substantial rehabilitation loan for the conversion of 100 East Wisconsin, a 34-story office tower in Milwaukee, into a 373-unit luxury apartment community. According to Dwight Capital, the loan is the largest multifamily HUD loan in Wisconsin history, the largest multifamily loan approved by HUD's Midwest Region Office, and the largest HUD 221(d)(4) construction loan in Dwight Capital's history.

The project is being undertaken by Klein Development, led by Joe Klein, Michael Klein, and Derek Schneider, and MOS R.E., led by Johnny Vassallo. Dwight Capital Managing Director Keith Hoffman and Jack Tawil originated the loan on behalf of the developers. Loan proceeds will be used for the project's construction and permanent financing.

100 East Wisconsin is among the youngest buildings ever added to the National Register of Historic Places, having received that designation on January 16, 2025 — a distinction that qualified the project for federal and state historic tax credits. The City of Milwaukee further supported the project with a tax increment financing package of up to $16.6 million through a newly established tax increment district.

"100 East is an iconic project that has been years in the making, and Dwight Capital's team delivered an outstanding experience from day one," Joe Klein said. "Their sophistication, strategic guidance, and all-hands-on-deck approach were critical in navigating a very complex transaction. Keith, Jack, and the entire underwriting and closing teams were proactive, solutions-oriented, and always available, making them an exceptional partner on this landmark project."

Ground-Up Multifamily Development in Abilene, Texas

Dwight Capital also closed a $66 million HUD 221(d)(4) construction loan for The Lariat at Abilene, a 312-unit luxury multifamily development in Abilene, Texas. The project is set on 13 acres near major employers including Blue Cross Blue Shield and Dyess Air Force Base, and will feature 13 three-story garden-style buildings, six garages, and a clubhouse.

Partner Brandon Baksh and Tommy Ng originated the loan on behalf of Austin Martin, Partner of Martin Inderman Development, described by the firm as a repeat Dwight Capital client.

DMT Closes Mixed-Use Construction Loan in Kaser, New York

DMT closed a $55 million new construction loan for 10 Ashel Lane, a 104-unit mixed-use project in Kaser, New York. The commercial component will include 45,000 square feet of ground-floor space, with a kosher grocer and an urgent care provider as tenants. The project is located in Rockland County's hamlet of Monsey and is positioned to serve Kaser's growing population.

Loan proceeds will fund the acquisition, ground-up construction, and closing costs. The transaction was originated by Katie Goldenberg on behalf of sponsor Simon Dushinsky of Sky Equity Group and arranged by Steven Hersko of The SHB Group.

"It was a real pleasure working with Dwight," Hersko said. "Despite the asset's challenging tertiary location, they understood the market dynamics and delivered competitive pricing and leverage. Their professionalism made for a seamless process from start to finish."

May Activity Summary

Dwight Capital's $663.2 million May total spans multifamily, office conversion, and mixed-use development across Wisconsin, Texas, and New York. The three transactions collectively represent 789 residential units, along with 45,000 square feet of commercial space in the Kaser mixed-use project.

About the Firms

Dwight Capital is a commercial real estate lender with a focus on HUD-insured multifamily and healthcare financing. Dwight Mortgage Trust is its affiliate REIT, providing bridge and construction lending. Klein Development and MOS R.E. are the co-developers of 100 East Wisconsin. Martin Inderman Development is the sponsor of The Lariat at Abilene. Sky Equity Group is the sponsor of 10 Ashel Lane.

Sources: Dwight Capital – Dwight Capital and Dwight Mortgage Trust Finance Over $663MM in May 2026