Buchanan Mortgage Holdings, LC (BMH), an affiliate of Buchanan Street Partners, L.P., provided a $12.76 million non-recourse senior construction loan for Mill Creek Terrace, a 110-unit cottage community in Ridgefield, Washington (Portland MSA). The loan is structured to provide financing for the vertical construction of 22 detached homes with an option to complete the future phases.
The sponsor, HSR Capital, acquired the site in 2023 and completed horizontal development earlier this year. In a strategic move to bring vertical construction in- house, HSR partnered in 2025 with Manor Homes, a well-regarded regional builder with over two decades of success in the Washington market. Mill Creek Terrace is among the first communities delivered by the combined enterprise.
“We were drawn to this transaction by the sponsor’s land development background and the veteran homebuilding expertise of the Manor Homes team”, said Chris Cervisi, SVP at Buchanan Mortgage Holdings. “HSR is the type of sponsor that we like to align with, and we are hopeful this transaction is the first of many collaborative successes.”
The development features cottage-style residences averaging 1,490 square feet across three distinct architectural designs. This location benefits from direct connectivity to Interstate 5 (1.3 miles from exit), providing convenient access to major employment centers and suburban amenities throughout the Vancouver- Portland metropolitan area.
TRANSACTION SUMMARY
Loan Amount: $12,760,000
Loan Type: Non-recourse senior construction loan
Sponsor: HSR Capital
Collateral: 88 finished lots, of which 22 are slated for vertical construction
Location: 3612 EN 179th Street, Ridgefield, WA
ABOUT BUCHANAN MORTGAGE HOLDINGS, LLC
Buchanan Mortgage Holdings, LLC, an affiliate of Buchanan Street Partners LP, originates non-recourse bridge and construction loans for the acquisition, development, renovation, recapitalization or refinance of commercial real estate located in primary and secondary Western U.S. and Texas markets. The company utilizes its own balance sheet and fully discretionary lending capabilities to provide certainty of execution within short timeframes, flexible loan structures and creative financing solutions. Our extensive experience as an owner and operator of commercial real estate allows us to understand what our borrowers need to successfully execute their business plans and maximize the value of the underlying real estate.