Orlando Student Housing DST, a newly formed Delaware statutory trust (the “Trust”) and an affiliate of Inland Private Capital Corporation (“IPCC”) is offering (the “Offering”) to sell to certain qualified, accredited investors (the “Investors”) pursuant to a Private Placement Memorandum (the “Memorandum”) 99.5% of the beneficial interests (the “Interests”) in the Trust.
The Trust owns the real estate and improvements located at 11037 Retreat Avenue, Orlando, Florida 32817 and commonly known as the Retreat at Orlando (the “Property”). The Property consists of approximately 45.54 acres of land upon which are located an off-campus student cottage community serving the nearby University of Central Florida (“UCF”), consisting of 143 apartment buildings with 894 leasable bedrooms, one clubhouse building, one spin room building, one maintenance building and one pool facilities building.
The Trust funded a portion of the purchase price of the Property with cash, provided as a capital contribution from the depositor. The remaining portion of the purchase price was funded by a loan to the Trust in the original principal amount of $47,125,000 (the “Loan”) from PNC Bank, National Association, under the Federal National Mortgage Association Delegated Underwriting and Servicing loan program. The Loan bears interest at a fixed rate equal to 4.09% per annum, and has a maturity date of September 1, 2025.
Under the Loan Documents (as defined in the Memorandum), the initial payment will be due on October 1, 2015. During the period beginning on October 1, 2015, through and including the payment date on September 1, 2020, the Trust is required to make monthly, interest-only payments. Beginning on October 1, 2020 and on each payment date thereafter, the Trust is required to make monthly payments of principal and interest, with principal amortizing on a 30-year schedule.