Author: ipgocorp

(RECAP: The Home for Good Program through United Way of Greater Williamsburg “takes people who are precariously housed, then we place them in housing with one of our landlords and then we do intensive case management,” program manager Amber Martens said. “We have them determine what areas are at risk that they need to work on, that could be mental, physical health, budgeting, transportation, affordable daycare, or could be relationships. We set personal goals and that’s how we monitor our progress.”)

MCLEAN, VA – More renters are optimistic about their financial situations and expect to stay where they are even if their rents increased, according to new research released by Freddie Mac. Meanwhile, a declining number of renters say they are working toward homeownership, expect to buy a home, or move within the next few years.

According to the latest Freddie Mac renter survey, renters today are also saying renting is a good choice for them, expect renting to stay affordable, and would move into a smaller rental unit to be closer to a city. While sentiments differ among urban, suburban and rural households, nationally those saying they expect to rent their next home increased to 59 percent from 55 percent since Freddie Mac’s last renter survey in September 2016.

“It would appear from our new survey that renters today feel better about their finances, like where they are living, and view renting favorably. This is consistent with findings from earlier surveys that show a steadily growing number of renters have a positive view of renting,” said David Brickman, executive vice president of Freddie Mac Multifamily.

According to the survey released today, renter sentiments about their financial situation have improved since our last survey in September 2016. Specifically, 41 percent of renters now say they have enough money to last beyond each payday, up from 34 percent in September, while those who say they cannot afford essentials fell from 20 percent to 14 percent. Those saying they have enough to cover their expenses from payday to payday is relatively unchanged at about 45 percent.

Financial confidence rose for renters in all age groups no matter where they live. The biggest increases were among rural households, up from 27 percent to 46 percent, and Baby Boomers, up from 38 percent to 48 percent.

Fewer Renters Say They Plan to Move

The increase in personal financial confidence, so far, has not triggered an increase in renter moving plans. Rather, the number of renters who don’t know when they expect to move rose to 37 percent from 30 percent while those who expect to move during the next two years fell from 38 percent to 33 percent since September. What’s more, 55 percent of all respondents, and 60 percent of 35- to 49-year olds, say they like where they live and don’t plan to move if their rents rose.

The number of renters who say renting is a good choice for them now rose to 52 percent from 46 percent since January 2016. Views on rent affordability have remained relatively flat at 68 percent.

The number of renters who say they plan to rent their next home rose from 55 percent to 59 percent since September 2016. The biggest increases were among suburban households, up from 48 percent to 57 percent, and younger Millennials (ages 18-24), which rose from 64 percent to 73 percent.

While homeownership remains on the horizon, the percentage of renters who expect to own fell to 41 percent from 45 percent since September 2016. Similarly, in response to a related question, the number of renters who say they are working toward homeownership fell from 21 percent to 15 over the same period.

The Freddie Mac survey also indicates a preference for living in urban areas even if it means moving into a smaller home. Seventy-five percent of the renters surveyed say they would consider downsizing in order to live in an urban area, with half of those saying they are either very or fairly willing to downsize.

Conducted in March for Freddie Mac by the Harris Poll, the findings are based on responses from 1,282 renters in urban, suburban, and rural markets, including Millennials (aged 18-34), Gen-X’ers (35-49) and Baby Boomers (50-68).

Additional details about the research, including charts, are on the Freddie Mac website.

ST LOUIS, MO – BRT Apartments announced that it acquired, through joint ventures, three luxury multifamily properties with an aggregate of 355 units located in St. Louis, Missouri for $74.6 million, including $55.2 million of mortgage debt obtained in connection with the acquisitions.

The properties include: Vanguard Heights, a 174-unit mid-rise property in the desirable Creve Coeur neighborhood; The Tower at OPOP, a recently constructed 128 unit, 25-story modern luxury building located in the heart of downtown St. Louis; and The Lofts at OPOP, a 53 unit multifamily loft building located near The Tower at OPOP.

“Our three property acquisition in St. Louis provides BRT with a meaningful presence in an attractive market. These properties are among the highest quality in our portfolio and have a strong resident profile,” stated Jeffrey A. Gould, President and Chief Executive Officer. “Our pipeline remains very active and we look forward to adding additional properties of this caliber throughout the year as we continue to scale our multifamily platform.”

BRT is a real estate investment trust that either directly, or through joint ventures, owns and operates multi-family properties and other real estate assets.

SAN DIEGO, CA – The Richman Group of California Development Company has broken ground on K1, a mixed-use development that includes a 23-story luxury residential tower with 222 apartments, more than 7,000 square feet of ground floor commercial space and parking for 317 vehicles. K1 also features an adjoining low-rise building, playfully called The Sliver, which will include two penthouses, a restaurant and urban garden. Completion of the project, which is located directly across from the Downtown Central Library, is scheduled for early 2020. Development costs for the 422,793-square-foot project, exceed $100 million.

Level 10 Construction of San Diego is the general contractor. The development team also includes architects DesignARC LA, Inc., Rob Wellington Quigley, FAIA, of San Diego and Large Architecture of Los Angeles; and landscape architect Spurlock Poirier of San Diego. NEXUS Planning Consultants of San Diego is the land use consultant. Bank of America provided construction financing.

K1 occupies most of the block bounded by Park, 13th, J and K streets in Downtown’s East Village neighborhood. It is less than three blocks from Petco Park.

Architectural highlights include a two-story “Sky Lounge” on the 19th floor, a resort-style pool area with spa and fire pits on the fifth-floor podium level and adjoining two-level recreation center with lounge, demonstration kitchen and gym.

“The site’s spectacular location – across the street from the Central Library and along the Bay-to-Park Link that joins San Diego Bay with Balboa Park – deserves an iconic project that complements the library and encourages public engagement,” said Luke Daniels, president of The Richman Group of California, part of the The Richman Group, the nation’s seventh largest apartment owner.

“K1 will be a Richman Signature Property, which combines first-class service, extensive amenities, and high-style architecture with a 30-day ‘Love It’ guarantee, 24/7 warranty response and individual design services,” said Daniels.

Quigley, whose Central Library design became an instant San Diego icon, designed the project’s secondary structure, ‘The Sliver,’ as an idiosyncratic, playful building to animate and give life to the tower. It features an energetic restaurant space that includes generous outdoor seating and two architecturally striking mid-rise penthouses.

The tower is designed to include 58 studios, 87 one-bedroom units and 77 two-bedroom units, and six levels of secure parking.

Landscape architects Spurlock Poirier has surrounded the project with inviting gardens and a wide promenade along Park Boulevard. The ground-level commercial space is planned to open onto a new public park, diagonally connecting K Street with upper 13th Street.

“We were fortunate to have assembled such an illustrious design team,” said Preston Underdown, director of development for The Richman Group of California. “The tower blends beautifully with library next door and gives it breathing room. Rob Quigley provided invaluable insight to the project and added some unique architectural elements that will become the soul of K1 and a valuable community attraction,” he added.

K1 is The Richman Group’s second major Downtown San Diego residential project to break ground in the past year. Last May, The Richman Group broke ground on another Richman Signature Property, F11, a seven-story luxury apartment/retail mixed-use development, located on the north side of F Street between 11th Avenue and Park Boulevard. F11 with 99 units is scheduled to open in mid 2018.

The four-year-old Richman Group of California is also nearing completion on Sage, a five-story apartment community in Cerritos with 132 market-rate apartments and deluxe recreational amenities. Leasing for the first phase of apartments at Sage is scheduled to start this summer.

In addition to market-rate residential apartment properties, The Richman Group of California develops affordable apartment communities. Last year it completed construction on Ventana, a 95-unit affordable seniors community, located at 345 Commonwealth Avenue in downtown Fullerton, Calif. The six-story, 130,000-square-foot midrise building was 100 percent leased upon completion.

Since its inception in 2014, The Richman Group of California has completed or started construction on 550 units and expects to have more than 750 units in production by yearend, including two new projects in Ventura County and Contra Costa County.

TAMPA, FL – Federal Capital Partners has continued to expand its presence in Florida with the $21 million acquisition of two Tampa apartment communities with a combined 293 units. The acquisitions mark the second and third investments in Tampa in the past twelve months and come three months after the company launched a Florida office in Miami under the leadership of Bruce Gago.

“FCP’s expansion in Florida reflects our confidence in its population and employment growth,” said FCP Vice President, Jason Ward. “These Tampa communities benefit from easy access to the city’s downtown, which continues its transformation into a 24-hour live-work-play environment.”

Poplar Park Terrace, soon to be rebranded as The Flats at Seminole Heights, is located at 4111 N. Poplar Avenue within South Seminole Heights, walking distance to the dynamic and growing dining and entertainment amenities within Seminole Heights and a short drive from Downtown Tampa. The community features 165 spacious apartments with amenities that include a swimming pool, 24-hour fitness center and covered parking.

Fernwood Grove is located at 4900 N. MacDill Avenue in South Tampa, in close proximity to the Westshore and International Plaza Malls, the Hyde Park District, popular restaurants and major commuter routes. The community’s 128 one and two bedroom apartments have undergone significant renovations, including a full upgrade of the community’s exterior and common area spaces.

Federal Capital Partners (FCP) is a privately held real estate investment company that has invested in or financed more than $5.0 billion in assets since its founding in 1999. FCP invests in all asset classes and provides equity, preferred equity and structured debt investments for commercial and residential real estate. The firm, based in Chevy Chase, MD, owns and manages in excess of $2.3 billion in assets.

NEW ORLEANS, LA – 365 Connect, a leading provider of award-winning marketing, leasing, and resident technology platforms for the multifamily housing industry, announced today that the company has been inducted into the NOLA 100, which recognizes high-growth companies in the New Orleans area. This prestigious award acknowledges 365 Connect for its growth, innovation, and contribution to the economy. 

The NOLA 100 is designed to highlight a total of 100 leading companies, which have gained significant traction in scaling their growth, and made a lasting impact on the local entrepreneurship movement. The program was created by Turbo Squid co-founder Matt Wisdom, in cooperation with other individuals and organizations, with the goal of inducting a total of 100 companies by 2018 in celebration of New Orleans’ Tricentennial.

“We are here to recognize these great companies that were able to scale into their respective markets, generate jobs, and contribute to the economy,” explained Clayton White, President of Entrepreneurs’ Organization Louisiana Chapter. “These high-growth companies would not be here today if it were not for the creative entrepreneurs that are the driving force behind them, those who never give up, and have the unique ability to turn obstacles into opportunities.”

365 Connect Founder and CEO, Kerry W. Kirby, responded, “365 Connect is truly honored to be inducted into this exclusive group of innovative high-growth companies that are making a difference in our community. Our city continues to reinvent itself and is rapidly becoming the hub for creativity and entrepreneurship. Together, we are proving to the rest of the world that we have a unique ecosystem that is supportive, responsive, and thrives on the next generation of change-makers.”

The award ceremony was held during New Orleans Entrepreneur Week, an annual business festival celebrating entrepreneurship, innovation, and new thinking in New Orleans. Companies included in the NOLA 100 must meet certain revenue requirements, achieve a substantial percentage of revenue from outside of Louisiana, and be headquartered in the Greater New Orleans Area. Nominating partners included Goldman Sachs 10,000 Small Businesses, The Idea Village, the Jefferson Parish Economic Development Commission and the New Orleans Business Alliance among others.

Event keynote speaker, Rob Lalka, incoming Executive Director of the Albert Lepage Center for Entrepreneurship and Innovation at Tulane University’s A. B. Freeman School of Business stated, “It is an honor to be here to induct these prolific visionaries into the NOLA 100. They exemplify the entrepreneurial spirit, have attained notable success, and are the foundation that strengthens our community. These are the companies that are making a difference, setting records, and emerging as the stars of the new economy.”

VACAVILLE, CA – Community Development Partners announced the groundbreaking for Rocky Hill Veterans Housing.  Located at 582 Rocky Hill Road in Vacaville, CA, the event’s speakers and VIP guests included: Vacaville City Mayor, Len Augustine; Director of Housing Services for City of Vacaville, Emily Cantu; and Eric Paine, CEO of Community Development Partners.  As one of the only new affordable developments targeting veterans in Solano County, this $21-million project will provide much-needed housing for chronically homeless veterans, and low-income veterans and families. 

Rocky Hill will consist of 39 new, high-quality permanent rental homes for people earning 15% to 60% of the Area Median Income.  Twenty-nine units will be reserved for veterans, with the remainder having a veteran preference.  Eleven of the veterans’ units will have Project-Based VASH vouchers, a program that combines HUD Sec-8 rental assistance with Veterans Administration case management services. The 11 units will serve as Permanent Supportive Housing, a solution to homelessness that combines housing, rental assistance and wrap around supportive services.  The innovative project’s structure is comprised of modified steel shipping containers.  The project is designed to achieve LEED Gold certification, and is scheduled for completion in December 2017.

Kyle Paine, President of Community Development Partners, the project’s developer, says, “The overall goal of this project is to catalyze a neighborhood renewal.  Not only is the project itself designed to promote interaction among residents, a resident services coordinator will work with the nearby Boys & Girls Club and other community partners to coordinate services and strengthen the existing neighborhood.”

The project’s financial partners include: Home Depot Foundation, Citibank, National Equity Fund, Veterans Housing and Homelessness Prevention (VHHP) funding administered by HCD and CalVet, City of Vacaville, and California Statewide Communities Development Authority, along with tax credits from CTCAC.  Supportive Services provided by CAN-B, the Veterans Administration and LifeSTEPS.  Design by G7A Gonzales Architects, property management provided by Solari Enterprises, construction by Precision General Commercial Contractors, and modified shipping containers provided by GrowthPoint Structures.  Vacaville Community Housing is the non-profit partner and Integrity Housing is the Co-General partner.

SEATTLE, WA – Renters in Seattle, Los Angeles, and Boston need the biggest income increases in 2017 to keep up with rising rents, according to a new Zillow analysis. In each of these metros, renters need their annual incomes to be at least $1,000 higher next year to have the same amount of money left over after paying rent.

Nationally, annual incomes would need to rise just $168 for renters to keep up with rising rents in the next year alone – an increase that comes on top of nearly five years of rising rents putting a dent in paychecks across the country.  

These income increases will only maintain the current amount of left over cash after paying rent. In several major metros, the share of income needed to pay rent already surpasses the general rule of not spending more than 30 percent of income on housing. In nearly all large markets, the median rent requires a larger share of income than it did before the housing bubble and bust.

Housing affordability is still a significant issue for renters, who have experienced rising rents for years. In some markets, the median rent requires more than 40 percent of the typical household income. However, rent appreciation is slowing, and rents are predicted to rise just 1 percent over the next year.

“For a long time now, renters have faced an affordability crisis when it comes to housing, and renters in some hot markets will still need significant raises just to keep up with rising rents,” said Zillow Chief Economist Dr. Svenja Gudell. “Incomes have a ways to go to bring rental affordability closer to historical levels, but recent gains are being met with slowing rent appreciation, a welcome sign for renters.”

Not all rental markets are expected to see as strong of rent appreciation. Renters in the Bay Area, Chicago, and Houston, for example, do not need their incomes to grow to have the same amount of money left over after paying rent. Income growth in these markets will provide some much needed relief for renters in terms of housing affordability.

ORLANDO, FL – Irving on Park goes vertical in the coveted Highland neighborhood in downtown Orlando’s north side, featuring 21 fee-simple, contemporary boutique townhomes with five unique floorplans ranging from approximately 1,700 to 2,600 square feet.

Irving’s architecture is based on the timeless style of Irving Gill, utilizing a minimalist California-mission inspired design with a clean color palette and decorative wood accents. Townhomes at Irving on Park will feature rooftop terraces, two-car garages, and optional elevators in select units. All residents can customize select designer finishes based on their specific tastes and each home is fitted with stainless steel appliances, hard surface countertops, and concrete block construction.

Becky Carey and Carla Snow with Crestview Reality are the exclusive agents and the sales office is located at 720 E Colonial Dr. Orlando, FL 32803. Homes are priced from the high $300s.

Irving on Park, situated along brick-lined streets near scenic lake vistas and amongst majestic oak canopies, is an ideal urban address. Its location just north of downtown Orlando promotes a pedestrian-friendly lifestyle with easy access to local shopping, dining, entertainment venues and parks. There is much to explore beyond downtown Orlando so Irving residents are within a short drive of world-renowned theme parks and attractions, arts, culture and sporting pursuits, as well as the beautiful Florida beaches on either coast.

“Our team’s fundamental strategy is to re-urbanize alluring neighborhoods near city centers to develop attractively designed townhomes for today’s urban buyers,” said ICON Residential Principal Mike Bednarski, a managing partner with the developer. “This centrally-located boutique townhome community is ideal for buyers seeking a maintenance- & hassle-free, live-work-play lifestyle.”

CHARLOTTE, NC – Bluerock Residential Growth REIT announced that it has acquired the 301-unit, Class-A multifamily Wesley Village Apartments in Charlotte, North Carolina. The REIT acquired the property for a total purchase price of approximately $56.85 million, or roughly $189,000 per residential unit.

The Company will implement a $2 million renovation program to upgrade units and common spaces, and projects the acquisition will yield a pro-forma stabilized cap rate of 6.0%.

BRG purchased the property with an investment of $16.5 million, financing the remainder with a fixed rate loan of $40.5 million from Freddie Mac.

Wesley Village is in the heart of a vibrant urban submarket but offers residents the ample floorplans and surface parking typical of residences found in lower density, suburban locations. Built in 2010, the property features studio, one- two- and three-bedroom units averaging a generous 1,025 square feet, a resort-style saltwater pool with grilling area and wet bar, fitness center, game room with billiards table, business center with Wi-Fi, and a dog park.

The property is situated just one mile from the thriving Uptown CBD, fewer than seven miles from the Charlotte airport and directly within the expanding and sought-after FreeMoreWest submarket. FreeMoreWest has sustained a robust population growth of more than 10% since 2010, while the greater Charlotte metro area, fueled by an influx of new firms to the area, has added more than 30,000 jobs over the past year.

“The Wesley Village Apartments property is squarely in the path of growth for Bluerock. We were able to purchase the property at a very favorable cost basis and, with implementation of value-added improvements and management efficiencies, we are confident that Wesley Village will be a strong performer for the REIT as well as a highly-competitive player in its market,” said Ramin Kamfar, Chairman and CEO of BRG.