Greystone Provides $49.6 Million HUD-Insured Loan for Muirfield Development's 252-Unit Gateway Osceola in Kissimmee

KISSIMMEE, Fla. — Greystone has provided $49,640,200 in HUD-insured financing for the new construction of Gateway Osceola, a 252-unit market-rate multifamily community in Kissimmee, Florida, the firm announced Nov. 3. The financing was led by Landon Snapp together with Muirfield Development, the developer of the property.

HUD 221(d)(4) Loan Structure

The HUD 221(d)(4) loan provides both construction and permanent financing for the project. Section 221(d)(4) is designed for new multifamily construction or substantial rehabilitation and can support long-term mortgages of up to 40 years. Market-rate projects can generally qualify for leverage of up to 87% of eligible replacement cost, subject to underwriting tests including debt-service coverage requirements.

The structure combines construction financing with the permanent loan. The program's loans can include an interest-only construction period of up to three years before converting to a fixed-rate, fully amortizing 40-year loan, which reduces exposure to refinancing risk compared with a conventional construction loan that must be refinanced at completion.

The $49,640,200 loan equates to approximately $196,985 per unit. That figure is a financing metric rather than a measure of development cost or valuation.

Gateway Osceola Project Details

Gateway Osceola will consist of three four-story residential buildings and a clubhouse on an approximately 12-acre site at 1941 E. Irlo Bronson Memorial Highway in Osceola County. The community will offer a mix of one-, two- and three-bedroom apartments.

Apartments will feature quartz countertops, stainless steel appliances and soft-close cabinetry, along with private garages. Amenities include a clubhouse with a co-working space, sunken lounge and music room, a pool with cabanas, a standalone fitness center, a dog park and a walking trail around the property's lake.

BBL Building Company is serving as general contractor, and Carr Architecture & Land Planning is the architect.

Location and Market Context

The property is located near major transportation routes, employment centers and the NeoCity technology district, which continues to attract investment and development activity to the region. Its amenity package places it in the market-rate segment of the Kissimmee rental market.

The transaction also reflects HUD's continuing role in financing new rental supply. Recent HUD policy changes expanded FHA-insured financing eligibility to qualifying build-to-rent communities of detached homes, duplexes and triplexes. Gateway Osceola, a conventional multifamily project with three four-story buildings, falls under the traditional 221(d)(4) multifamily framework rather than that newly expanded category.

Statements From Greystone and Muirfield Development

"Greystone is pleased to partner with Muirfield Development to support the development of Gateway Osceola," said Landon Snapp of Greystone. "This financing demonstrates the value of HUD's 221(d)(4) program in supporting new multifamily development by providing a long-term, stable financing solution."

"Greystone's team worked closely with us through a complex HUD process, and they were instrumental in its execution. The 221(d)(4) program gives the project the certainty of fixed-rate, long-term financing from construction through the full permanent term," said Michael Corso, Partner at Muirfield Development. "We're pleased with the execution as construction gets underway, and we thank Osceola County's leadership and staff for their support through the entitlement and permitting process."

Outlook

With construction getting underway, Gateway Osceola represents new multifamily supply in Osceola County financed through a fixed-rate, long-term HUD structure.

Sources

• Greystone: Greystone Provides $49.6 Million in HUD-Insured Financing for 252-Unit Multifamily Development in Florida