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.
$113.5 Million Construction Loan Funds Two 575‑Unit Build‑to‑Rent Communities in Tomball, TX and Simpsonville, SC
Quick take
A construction loan totaling $113.5 million has been put in place to finance two new build‑to‑rent projects developed by a Texas‑based multifamily firm. The financing backs 575 total units across The Cottage Green Tomball in Texas and The Cottage Green Simpsonville in South Carolina, covering both construction costs and project delivery.
What the loan covers
The financing package is split into an $83.8 million senior note and a $29.7 million B‑piece. The full loan carries an initial 18‑month term with two optional six‑month extensions available, allowing flexibility in construction timing and lease‑up. A national arranger handled the transaction placement.
Who provided the money and who is building
The debt was originated by a New York‑based real estate investment firm in partnership with a national credit manager. The investor firm manages approximately $18 billion in assets. The projects are being developed under the Cottage Green brand by a Texas multifamily developer that has completed multiple single‑family rental communities under that name. Once complete, these two properties will be the brand’s fifth and sixth developments.
Project details and amenities
Combined, the two Cottage Green sites will deliver 575 units of one‑ to three‑bedroom multifamily homes. Each community will include dedicated greenspace, on‑site parking and a pool. The developments follow a single‑family rental design approach within a multifamily delivery model, intended to serve renters seeking larger footprints and community amenities.
Locations and local context
The Cottage Green Tomball sits in Tomball, Texas, a suburban city located about 34 miles north of downtown Houston. The Cottage Green Simpsonville is sited in Simpsonville, South Carolina, a small city of roughly 23,000 residents located about 15 miles south of Greenville, S.C. Both markets are suburban or near‑suburban areas with growing renter demand and expanding housing options.
Why the deal was structured this way
The two‑part loan structure — a senior note plus a B‑piece — is a common way to allocate risk and return between lenders and credit partners. The initial 18‑month term with extension options provides a window for construction and lease‑up while offering lenders a timetable for review and return. The investors involved pursue opportunities in markets with steady multifamily demand and experienced development sponsors.
Nearby activity and market signal
The Tomball area has seen recent build‑to‑rent activity, including completion of other single‑family rental projects with three‑ and four‑bedroom homes and community amenities such as pools, playgrounds and dog parks. Those nearby projects reflect growing interest in suburban rental housing that blends single‑family design with professionally managed community services.
Timing and next steps
The loan’s timeline supports construction and initial leasing phases. Precise construction schedules, expected delivery dates and lease‑up projections will be set by the developer and are subject to permitting, supply chain timing and local market absorption. The extension options in the loan give developers extra time if needed to finish construction or stabilize occupancy.
Takeaway
This financing package highlights continued investor appetite for build‑to‑rent models that offer suburban scale, dedicated outdoor space and in‑community amenities. The transaction structure and short‑to‑medium term timeline reflect a cautious, businesslike approach to funding new rental product where demand fundamentals are viewed as supportive.
Frequently Asked Questions
What projects does the loan fund?
The loan funds The Cottage Green Tomball in Tomball, Texas, and The Cottage Green Simpsonville in Simpsonville, South Carolina.
How many units are included?
Combined, the two developments will include 575 units.
What types of homes will be built?
Each development will offer one‑ to three‑bedroom multifamily homes designed with single‑family rental layouts, plus dedicated greenspace, on‑site parking and a pool.
Who provided the financing?
The loan was originated by a real estate investment firm in partnership with a credit manager; the investment firm manages roughly $18 billion in assets. A transaction arranger placed the financing.
What is the loan structure and term?
The loan is split into an $83.8 million senior note and a $29.7 million B‑piece. It has an 18‑month initial term and includes two six‑month extension options.
Why include extension options?
Extensions provide extra time for construction completion or lease‑up if schedules shift due to permitting or supply chain delays.
How does this fit in the developer’s portfolio?
These sites will be the developer’s fifth and sixth properties under the Cottage Green brand, expanding its footprint in single‑family rental style communities.
Key Features at a Glance
| Feature | Detail |
|---|---|
| Loan amount | $113.5 million |
| Loan split | $83.8M senior note; $29.7M B-piece |
| Term | 18 months plus two 6‑month extensions |
| Developer | Texas-based multifamily developer (Cottage Green brand) |
| Projects | The Cottage Green Tomball (TX) and The Cottage Green Simpsonville (SC) |
| Total units | 575 units combined |
| Unit types | One- to three-bedroom multifamily homes |
| Amenities | Dedicated greenspace, on-site parking, pool |
| Locations | Tomball, TX (≈34 miles north of downtown Houston); Simpsonville, SC (≈15 miles south of Greenville) |
| Investor scale | Originating investment firm manages about $18 billion in assets |
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 TX News
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