Construction underway at a Cottage Green build-to-rent community featuring low-rise homes, greenspace and a pool.
Tomball, Texas and Simpsonville, South Carolina, August 22, 2025
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.
A construction loan totaling $113.5 million has been secured to fund two new build-to-rent communities branded The Cottage Green, bringing 575 rental units to suburban markets outside major Southeast and Texas metros. The financing will support projects in Tomball, Texas, and Simpsonville, South Carolina, and is structured with both a senior note and a subordinate tranche to cover construction costs.
The financing was originated by two investment firms and comes in the form of an $83.8 million senior note plus a $29.7 million B-piece, resulting in the total $113.5 million package. The loan carries an initial 18-month construction term with the option for two six‑month extensions. A specialist capital advisory firm arranged the transaction.
The developments are being built by a Texas-based multifamily developer that has been expanding its single-family rental brand. Once finished, these two sites will become the brand’s fifth and sixth Cottage Green developments. The financing partners include a New York–based real estate investment firm that manages approximately $18 billion in assets, working alongside another institutional investment partner on the loan.
Combined, the two projects will deliver 575 units of one- to three-bedroom multifamily homes designed for the build-to-rent market. Each community is planned to include dedicated greenspace, on-site parking and a community pool. The developments are positioned to serve renters seeking single-family-style living within rental communities.
The Tomball site lies roughly 34 miles north of downtown Houston, placing it inside the broader Greater Houston region. The Simpsonville site sits in a smaller community of about 23,000 residents, located approximately 15 miles south of Greenville, South Carolina. Both locations were selected for their regional demand fundamentals and ongoing multifamily interest.
The loan’s split between a senior note and a B-piece reflects a common structure for construction financings where part of the risk is allocated to a subordinate tranche. The 18-month term aligned with construction schedules, plus the two optional six-month extensions, gives the sponsor flexibility to complete construction and lease-up phases.
Executives at the originating firm noted that the financing fits a strategy of supporting experienced sponsors in markets with solid fundamentals and healthy multifamily demand, and that backing thoughtfully designed build-to-rent housing aligns with evolving renter preferences.
The Tomball market has already seen recent build-to-rent deliveries. A separate 148-unit single-family rental community completed in the area features larger three- to four-bedroom homes, furnished kitchens with stainless steel appliances and granite countertops, two-car garages, and fully fenced backyards. That community also includes common amenities such as a pool, playground, dog park and sports park, and reported starting rents in the low-to-mid thousands for three-bedroom homes. The presence of multiple projects underscores growing developer interest in the Tomball submarket.
With construction financing in place, site work and vertical construction milestones are expected to follow according to typical build-to-rent schedules, though a specific delivery timeline has not been disclosed. The loan’s structure and extension options provide a cushion against potential schedule adjustments during construction and lease-up.
The deal adds momentum to the build-to-rent sector in both Texas and the Southeast, illustrating continued institutional capital flow into suburban single-family rental product. For local markets, the projects will increase the supply of professionally managed rental homes that combine single-family features with community amenities.
A1: The sponsor secured a total of $113.5 million in construction financing.
A2: The two developments will deliver a combined 575 units of one- to three-bedroom homes.
A3: The financing was originated by two institutional investment firms, with a capital advisory firm arranging the transaction.
A4: The loan is structured as an $83.8 million senior note and a $29.7 million B-piece. It has an 18-month term plus two optional six-month extensions.
A5: One project is in Tomball, Texas, about 34 miles north of downtown Houston. The other is in Simpsonville, South Carolina, a community of roughly 23,000 residents about 15 miles south of Greenville.
A6: Each site will include dedicated greenspace, on-site parking, and a pool, alongside one- to three-bedroom home types typical of build-to-rent communities.
A7: Yes. The financing and multiple recent local completions indicate sustained investor and developer interest in suburban build-to-rent product.
| Feature | The Cottage Green Tomball | The Cottage Green Simpsonville | Combined / Loan Details |
|---|---|---|---|
| Unit count | Not individually disclosed | Not individually disclosed | 575 total units |
| Product type | Build-to-rent, 1–3 bedroom homes | Build-to-rent, 1–3 bedroom homes | Single-family-style rental communities |
| Amenities | Greenspace, on-site parking, pool | Greenspace, on-site parking, pool | Community amenities and rental management |
| Location context | ~34 miles north of downtown Houston | ~15 miles south of Greenville, SC; ~23k population | Suburban markets with growing renter demand |
| Loan amount | N/A | $113.5M total (Senior note $83.8M; B-piece $29.7M) | |
| Loan term | N/A | 18 months with two 6‑month extensions | |
| Developer | HMF Americana (Cottage Green platform) | Fifth and sixth projects under the brand | |
| Transaction arranger | Sterling Realty Capital | ||
| Capital providers | Institutional investment firms (senior and B-piece originators) | ||
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