Dwight Capital Secures $47 Million HUD Loan for Katy Multifamily Development

Dwight Capital has finalized a $47 million U.S. Department of Housing and Urban Development (HUD) 221(d)(4) construction loan for Hunington Properties. This financing will support the development of The Vic at Sunterra, a 279-unit multifamily project located in Katy, Texas. The apartment community will be situated within the expansive 1,300-acre Sunterra master-planned community, approximately 35 miles west of Downtown Houston.

The nonrecourse HUD-backed loan offers a favorable structure, including a 24-month interest-only period followed by a 40-year fully amortizing term. This provides a predictable debt service schedule extending well beyond the anticipated construction completion in fall 2028, managed by Hunington Residential. David Scheer and Andrew Tichy from Dwight Capital originated the transaction.

The Vic at Sunterra will feature one- and two-bedroom apartments across four three-story buildings on a 10-acre site at 245 Bartlett Road. Key demand drivers for the project include its exclusive position as the sole multifamily community within Sunterra, offering residents access to amenities like a 2.7-acre lagoon with a sand beach, pickleball courts, and a fitness center. Its location within the highly-rated Katy Independent School District, with Cross Elementary nearby, further enhances its appeal. This project highlights the continued viability of HUD financing for large-scale suburban multifamily developments.