Tomball, Texas and Simpsonville, South Carolina, August 22, 2025
News Summary
HMF Americana obtained a $113.5 million construction loan to develop two Cottage Green build-to-rent communities in Tomball, Texas, and Simpsonville, South Carolina. The financing is split into an $83.8 million senior note and a $29.7 million B-piece, with an 18-month initial term and two optional six-month extensions. Together the sites will deliver 575 low-rise single-family rental homes with one- to three-bedroom layouts and on-site amenities including greenspace, parking and a pool. The facility was originated by institutional lenders and arranged by a capital markets advisor, supporting the Cottage Green platform’s continued expansion.
HMF Americana Secures $113.5M Construction Loan for Two 575‑Unit Build‑to‑Rent Projects
$113.5 million in construction financing has been secured to fund two suburban build‑to‑rent communities that together will deliver 575 units. The financing is structured as an $83.8 million senior note alongside a $29.7 million B‑piece, and it carries an 18‑month term with two optional six‑month extensions.
Key deal parties and structure
The construction financing was originated by a New York–based real estate investment firm with approximately $18 billion of assets under management in partnership with a credit and asset management firm. A separate capital markets advisor arranged the transaction. A principal at the originating firm described the financing as consistent with the firm’s strategy to back experienced sponsors in markets with solid fundamentals and strong multifamily demand, and to support expansion of an established single‑family rental platform under development by a Texas‑based multifamily developer.
Projects and locations
The loan will fund two developments in different Southeast and Gulf Coast‑adjacent markets branded under the same single‑family rental platform. The projects are:
- The Cottage Green Tomball, located in Tomball, Texas — a suburban community roughly 34 miles north of downtown Houston.
- The Cottage Green Simpsonville, located in Simpsonville, South Carolina — a small city of about 23,000 residents and approximately 15 miles south of Greenville, SC.
Once completed, these two developments will become the fifth and sixth projects under the developer’s Cottage Green brand of single‑family rental housing. Combined unit count is expected to total 575 homes, with each community offering one‑ to three‑bedroom homes.
Amenity and design highlights
Each community is planned with typical build‑to‑rent features intended to appeal to renters seeking suburban, single‑family‑style living with lower maintenance obligations. Design and amenity elements for both developments include:
- One‑ to three‑bedroom multifamily homes designed to resemble single‑family product
- Dedicated greenspace for residents
- On‑site parking
- Community pool
Timing and capital terms
The financing term is set at 18 months with the borrower able to extend the facility through two separate six‑month extensions if needed. The two‑tier capital structure — a senior note combined with a subordinate B‑piece — is intended to allocate risk and return across capital partners during the construction phase.
Market context and local activity
The Tomball project adds to a growing pipeline of build‑to‑rent activity in suburban Houston markets. Separately, another build‑to‑rent development recently completed in Tomball features 148 rental homes with three‑ to four‑bedroom floorplans, multiple home configurations, stainless steel appliances, granite countertops, two‑car garages and fenced backyards. That project also includes community amenities such as a pool, playground, dog park and sports park, and was developed in partnership with a national residential developer.
In the Greenville‑area submarket, the Simpsonville development will expand rental housing options in a smaller, fast‑growing municipal center where proximity to a regional job hub supports multifamily demand. The developer and capital partners cited the appeal of thoughtfully designed build‑to‑rent housing as a solution for evolving renter needs in these markets.
Why this deal matters
The transaction highlights several broader trends in housing finance and suburban rental development: continued investor appetite for build‑to‑rent product, the use of layered construction capital structures to manage risk, and the pursuit of growth in suburban markets near major employment centers. The size and structure of the loan also reflect lender confidence in experienced sponsors and in product types that aim to capture renter demand for lower‑maintenance, single‑family style living.
Frequently Asked Questions
What projects are being financed?
Two Cottage Green branded build‑to‑rent communities in Tomball, Texas, and Simpsonville, South Carolina, totaling 575 units.
How much is the loan and how is it structured?
The total construction financing is $113.5 million, composed of an $83.8 million senior note and a $29.7 million B‑piece.
Who provided the financing?
The financing was originated by a New York‑based real estate investment firm in partnership with a credit and asset management firm; a capital markets advisor arranged the transaction.
What are the term and extension options?
The loan has an 18‑month term with two optional six‑month extensions.
What amenities will the developments include?
Both communities are planned to include one‑ to three‑bedroom homes, greenspace, on‑site parking and a pool.
Key Features at a Glance
| Feature | Details |
|---|---|
| Total loan | $113.5 million |
| Loan components | $83.8M senior note + $29.7M B‑piece |
| Term | 18 months with two six‑month extensions |
| Projects | The Cottage Green Tomball (Tomball, TX) and The Cottage Green Simpsonville (Simpsonville, SC) |
| Combined units | 575 units |
| Amenities | One‑ to three‑bedroom homes, greenspace, on‑site parking, pool |
| Developer | Texas‑based multifamily developer expanding its Cottage Green brand |
| Originators | New York‑based real estate investor (≈ $18B AUM) and credit/asset manager |
Deeper Dive: News & Info About This Topic
Additional Resources
- Commercial Observer: Siguler Guff & Benefit Street Partners $114M Construction Loan (Build-to-Rent)
- Wikipedia: Build-to-rent
- Multi-Housing News: Ascendant Development Starts Metro Houston SFR Project
- Google Search: single-family rental development Tomball
- REBusiness Online: Tricon Residential Completes 148-Unit Build-to-Rent in Tomball, TX
- Google News: Tricon Residential Tomball build-to-rent
- Community Impact: Prime Path Financial Relocates to Tomball Office
- Wikipedia: Tomball, Texas
- Business Wire: Centex Construction Appoints Jeff Wonsmos as Chief Financial Officer
- Encyclopedia Britannica: construction industry United States
Author: Construction NY News
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