Author: ipgocorp

LANSDALE, PA – Greenfield Senior Living expanded its strong relationship with Care Investment Trust, a real estate investment company focused exclusively on the seniors housing sector, with the acquisition of Spring Meadows of Lansdale (to be known as “Greenfield Senior Living of Lansdale”). The newly renovated personal care and memory care community has 120 units and 150 licensed beds. Greenfield intends to grow census, and to transform the senior living experience for current and future residents through Greenfield’s signature programs and services.

Greenfield of Lansdale is a fully renovated community that consists of 64 personal care units and 56 memory care units. The community boasts a 7,500 square foot “Town Square,” where residents and families can gather and engage in various activities. This innovative central area connects key design elements from significant United States landmarks to help make every resident feels immediately at home. In addition to this unique space and advanced approach to community layout, Greenfield will add key care components and award-winning leadership models.

Mathew Peponis, Chief Executive Officer of Greenfield, stated “Greenfield Senior Living is honored to grow its relationship with Care. We are excited that the families and residents of Lansdale will now be enjoying the Greenfield signature experience. With our innovative programs and unique medical model of care, we will continue to transform the experience of senior living.”

Salvatore (Torey) Riso, President and Chief Executive Officer of Care, remarked, “Care is extremely pleased to partner with Greenfield once again. Having started our partnership with Greenfield in 2011, this most recent collaboration in Lansdale is confirmation that we can build a portfolio of communities that is beneficial for residents, staff, and the communities that we serve. Care is looking forward to continued growth with Greenfield in 2017 and well beyond.”

Greenfield Senior Living currently operates 20 communities with several in the Pennsylvania region, the closest being Greenfield Senior Living of Perkiomen Valley in Schwenksville, PA. Greenfield has an exceptional reputation for dedicating its time and heart to transforming the senior living experience, and creating an atmosphere where seniors feel honored and celebrated. Care owns 30 communities across the country, including 6 in Pennsylvania and 13 of which are managed or operated by Greenfield.

SALISBURY, MD – Campus First Student Living and CF Real Estate Services, have acquired University Orchard, located less than one-half mile from the main campus of Salisbury University in Salisbury, MD. Salisbury University is part of the University System of Maryland. Campus First will be overseeing the management of this 648-bed property as well as a $600,000 property upgrade program. The property will continue to retain the name University Orchard.

Campus First will bring its boutique style approach and expertise in student property management to position the asset as Salisbury University’s premier off-campus student housing option. As part of the property upgrades, Campus First will be constructing a new dog park, add a large outdoor LED screen in the pool and terrace area, renovate the exterior and interior of the clubhouse, and enhance the fitness center and study areas.

Residents will be pleased with the upgraded internet and cable packages as well as the addition of VIP premium suites. The new premium option will include grey faux wood floors, painted interiors, and completely renovated kitchens with subway tile backsplashes, stainless steel appliances, new counter tops and kitchen hardware. The bathrooms will also be updated and the VIP suites will boast all new modern furniture packages and new large, flat screen televisions.

University Orchard is currently 99% leased for the 2015-16 lease year. The property was constructed in 2013, and features a resort style swimming pool, outdoor spa, separate game room, clubhouse, and volleyball and pickle ball courts. Unit interiors have faux wood flooring, bed-bath parity, black appliances, and are fully furnished.

“The Campus First team is excited about managing this property and turning this asset into the premier off-campus student property at University of Salisbury through its new management team and the planned upgrade program,” states Christopher Feeley, President of Campus First.

NEW YORK, NY – Trepp, a leading provider of information, analytics, and technology to the CMBS, commercial real estate, and banking markets, released its December 2016 US CMBS Delinquency Report.

The Trepp CMBS Delinquency Rate ascended sharply in December, as the reading reached its highest level in 14 months. The delinquency rate for US commercial real estate loans in CMBS is now 5.23%, an increase of 20 basis points from November. The rate fell 102 basis points over the first two months of the year and hit a multi-year low of 4.15% in February. However, those gains have been erased thanks to loans from the 2006 and 2007 vintages that have reached their maturity dates and have not been paid off via refinancing.

“The CMBS market opens 2017 in uncharted waters,” said Manus Clancy, Senior Managing Director at Trepp. “Issuers are now required to adhere to risk retention compliance, and higher lending spreads and interest rates could be in the offing for borrowers. All of this comes at a time when loans securitized in 2007 are coming due in droves.”

About $150 million in CMBS loans were cured last month, while only $422 million in previously delinquent loans paid off at par or with a loss. These totals are much smaller than the average levels for the past 12 months. Conversely, a hefty $1.7 billion in CMBS loans became newly delinquent in December.

The office delinquency rate underwent the largest month-over-month increase in December, as well as the largest year-over-year increase among all major property types. The office reading jumped 56 basis points to 7.13% last month, and climbed 134 basis points from last December. Though the lodging delinquency rate shed six basis points in December to 3.57%, that sector’s reading posted the second-largest year-over-year increase in 2016. Apartment loans remain the best performing property type, as the multifamily delinquency rate dropped 556 basis points year-over-year.

The report can be found at Trepp.com  

NEW YORK, NY – Ultra-luxury multifamily assets in Manhattan remain in high demand, leading to strong interest from the lending community. On behalf of JDS Development Group, Capital Markets experts announced the firm secured $660 million in financing for the American Copper Buildings at 626 First Avenue in Manhattan. AIG provided a $500 million senior loan while Apollo Global Management and SL Green provided a $160 million mezzanine loan. The financing is interest-only and carries a three-year term.

Managing Director Aaron Appel, Executive Vice President Michael Diaz and Senior Vice President Mark Fisher led the JLL team on the transaction. Matt Phillips and Gregory Gleicher led the JDS team.

“This deal is representative of the appetite investors have for product that fulfils the huge demand for high-quality multifamily assets in Manhattan,” said Appel. “Due to the building’s 421-a tax abatement designation, the owners were able to build the towers in what would otherwise have been a prohibitive funding environment. There is really no comparable product in the city, which made this a highly sought-after lending opportunity.”

Located along the waterfront of the East River, the East and West towers are 41 and 48 stories, respectively. The ShoP Architects-designed, copper-clad towers are connected by Manhattan’s first sky bridge in 80 years and include 601 market rate units and 160 affordable units. The buildings also include 13,441 square feet of ground floor retail space.

Amenities include a rooftop infinity pool on the East tower along with a resident bar and lounge with views of the Manhattan skyline. Both buildings will also have access to a 24-hour concierge, a secure 294-spot parking garage and a two-story, state-of-the-art fitness center. Units will include custom finishes such as stone countertops, stainless steel appliances, custom wood cabinetry, built-in speakers, hardwood floors, urban mud rooms, and washers and dryers.

MIAMI, FL – In early 2017, the nation’s largest multifamily developer, Alliance Residential Company, will open two of its signature Broadstone properties for the South Florida renter by choice – the elegant waterfront Broadstone Harbor Beach in Fort Lauderdale and swanky 24-story Broadstone at Brickell in Miami’s financial district.

“This region of South Florida offers a unique blend of world-class beaches with a vibrant nightlife and significant business and industry, all within walking distance from Broadstone Harbor Beach and Broadstone at Brickell,” said Robert Hall, Managing Director of South Florida for Alliance Residential Company. “Both communities are everything Broadstone living is about. Alliance has been part of this growing region since 2007 and we are excited for residents to enjoy our amenity-rich developments alongside the beach and individual style that suits their life.”

The 394-unit Broadstone Harbor Beach is located at 1721 SE 17th St. in Fort Lauderdale. The community’s design is inspired by the one-of-a-kind Florida coast, which is within close proximity to the beautiful Fort Lauderdale beaches. The studio, one- and two-bedroom units are currently preleasing, with leases starting from $1,650 to $3,875, and feature open nine-foot ceilings, private balconies and patios, and chef-quality kitchens. 

Broadstone at Brickell’s 24 stories are perched at 255 SW 11th St in the heart of Brickell, within walking distance to Brickell Village and Brickell City Centre. Inside the gated community are 372 homes that range from studios to two-bed, two-and-a-half-bath townhomes, which are now preleasing. The homes are designed to blend with downtown Miami’s modern, clean style, with leases ranging from $1,759 to $3,760. Broadstone at Brickell’s amenities include expansive and well-equipped kitchens, spacious custom cabinets, tile flooring throughout common living spaces and luxury bathrooms.

Broadstone communities are designed to bring a lifestyle of amenities to residents. Inside both properties, residents can enjoy a private movie theater, an expansive fitness center with a yoga studio and signature boxing ring and a resort-style pool with an outdoor lounge and cabanas. At Harbor Beach, amenities also include a courtyard with outdoor games, outdoor shower, a dog park and a massage room. Further south at Miami’s Brickell property, custom amenities include bike repair and storage, a pet spa, a 24-hour business center and a sleek cyber café.

(RECAP: The Alexandria Redevelopment and Housing Authority has begun the process of revamping five of its properties in the city following approval last fall of the Ramsey Homes redesign. The sites are set for an overhaul in the not-too-distant future after the authority issued a request for proposals in 2014 to find private developers with whom to partner on the projects. Of those—Andrew Adkins, Cameron Valley, Hopkins-Tancil, Samuel Madden and the ARHA headquarters—the redevelopment of the 90-unit Adkins property officially began late last year with a kick-off event. ARHA CEO Roy Priest said Adkins was slated for redevelopment first in part because of its prime location near the Braddock Road Metro station and to help the families there find alternative accommodations. ARHA will apply for low-income housing tax credits from VHDA to help fund the projects, in addition to loans and federal grants.)

LAS VEGAS, NV – The Bascom Group acquired Spectrum Apartments, a late-vintage 252-unit luxury apartment community located in Las Vegas, Nevada for $38.35 million. Patrick Sauter and Art Carll with NAI Vegas were the brokers for the sale. Charles Halladay and Jamie Kline with HFF arranged the $27.3 million loan with Lincoln Benefit Life Company.

Since 2013, Bascom and its affiliates have acquired 29 multifamily properties in the Las Vegas market, totaling 9,167 units.

Scott McClave, Senior Principal of Bascom, comments: “We were initially drawn to Spectrum’s rare combination of institutional quality and excellent location. The property is proximate to the affluent neighborhoods Spring Valley, Summerlin, and Rhodes Ranch, and has easy access to the I 215 beltway. As the Las Vegas economy continues to strengthen, Spectrum is well positioned to benefit from new ownership and positive forward fundamentals.”

Jim Singleton, Director of Acquisitions, adds: “Spectrum is a unique property in that it was originally designed as a for-sale condominium development. The large floorplans, premium finishes, and ample community amenities set it apart from its competitors. With Las Vegas projected to experience rapid employment growth over the next several years, we feel that Spectrum will attract a high-quality tenant base looking for a luxury living experience.”

Spectrum was built in 2010 and consists of 14 three-story buildings situated on 9.78 acres.  Rental offerings include a range of one-bedroom, two bedroom, and townhome floorplans, with one-bedrooms accounting for 43%, two-bedrooms accounting for 15%, and two-bedroom townhomes accounting for 42% of the total unit mix. The community offers tenants a robust amenity package including a resort style pool/spa area, fitness center, a clubhouse with business center, and a picnic area with barbecues. The unit interiors are designed with open floorplans and modern finishes. Bascom plans to implement a modest renovation program to further enhance the interior finishes and build on the existing amenity package.

LOS ANGELES, CA – Canyon Partners Real Estate announced the launch of Canyon Multifamily Impact Fund III, a new real estate fund in partnership with CIT Bank, N.A. that continues Canyon’s investing in affordable workforce housing.  This Fund is positioned to acquire and manage up to $90 million in workforce housing apartment communities throughout Southern California, which serve low-to-moderate income residents. It is the third fund within Canyon’s workforce housing platform dedicated to advancing community development and embracing environmental responsibility. 

A core initiative of the Canyon Multifamily Impact Fund III will be to implement social programs through a variety of education, healthcare and community initiatives designed to benefit both residents and the communities in which they live and work. On-site programs may include afterschool tutoring, financial education, employment assistance, health services, community sports activities and partnerships with local agencies and community groups. The Fund will also invest capital in property improvements through targeted, meaningful, physical upgrades and management initiatives geared toward enhancing day-to-day operations, environmental sustainability, and the quality of life for its residents.

“We’re pleased to partner with Canyon to provide affordable, market-rate multifamily housing in Southern California,” said Michael Pedone, Managing Director, CIT Real Estate Finance. “Canyon is a strong sponsor with a track record of investing in real estate and CRA-qualified multifamily property and we look forward to partnering with their experienced management team on this important initiative.”

Rick Lieber, Senior Vice President, CIT, said, “Helping to create and maintain housing that is affordable in Southern California is a key priority for CIT Bank as the region has suffered a significant shortage in the last several years.  We are particularly proud to participate in this innovative structure that will rely upon private, not government, funding to serve our community’s needs.”

This Canyon/CIT Bank fund builds on the success of Canyon’s existing Multifamily Impact Funds (CMIF I and II), which have been positioned to acquire and improve $500 million of workforce multifamily properties, making long-term, material, positive impacts in targeted communities across the United States. To date, the funds have invested in more than three million square feet, representing over 3700 units.

SAN MATEO, CA – Elder Care Alliance announced it has acquired The Villa at San Mateo, an independent living community for seniors. The 135-unit apartment community marks the first acquisition of an existing community by Elder Care Alliance, an Alameda, Calif.-based nonprofit organization that has a 100-plus year history of serving and enriching the holistic wellness of older adults.

The Villa at San Mateo’s 4.5-acre campus is a beloved and historic mid-century gem located 20 miles south of San Francisco and 15 miles north of Palo Alto. With the purchase, Elder Care Alliance now serves upwards of 660 residents on five campuses throughout California. Other Elder Care Alliance communities include AlmaVia of Camarillo, AlmaVia of San Francisco, AlmaVia of San Rafael and Mercy Retirement & Care Center.

“Elder Care Alliance is excited to welcome The Villa at San Mateo into our family. With its rich history and unique offerings, it is a vibrant community for older adults. We are extremely pleased to expand our footprint in the San Francisco Bay Area and offer more affordable independent living options for older adults,” said Adriene Iverson, president and CEO of Elder Care Alliance.

Iverson noted that adding The Villa at San Mateo to the Elder Care Alliance portfolio helps solidify its mission of serving and enriching the holistic wellness of older adults at different stages of their lives.

“The Villa’s current professional staff has joined the Elder Care Alliance team. They have played an integral role in making The Villa at San Mateo such a special place, so we are pleased that they will be continuing their good work,” Iverson said. “The Elder Care Alliance team plans to explore ways to support healthy aging in place, whether through the use of technology or new services. We are committed to enhancing the array of services already offered at The Villa.” 

She added, “We look forward to joining the San Mateo community and collaborating with city and county officials, local businesses and faith organizations to help maintain innovative, high-quality and more affordable housing options for seniors on the Peninsula.”

NEW YORK, NY – Mortgage rates started off 2017 much differently than they finished up 2016 as mortgage rates pulled back, breaking a streak of nine consecutive weekly increases. The benchmark 30-year fixed mortgage rate settled at 4.21 percent, according to Bankrate.com’s weekly national survey. The 30-year fixed mortgage has an average of 0.28 discount and origination points.

The larger jumbo 30-year fixed pulled back to 4.28 percent, and the average 15-year fixed mortgage rate dropped to 3.45 percent. Adjustable mortgage rates were mostly lower as well, with the 5-year ARM slipping to 3.50 percent and the 7-year ARM sinking to 3.77 percent.

After rising for nine weeks in a row and twelve out of thirteen weeks during the fourth quarter of 2016, mortgage rates retreated. The run-up in both bond yields and mortgage rates was predicated on expectations for government stimulus and tax cuts that would boost the pace of economic growth and the level of inflation. As 2016 came to a close and 2017 got underway, some skepticism has begun to creep in about the timing and effectiveness of any stimulus matching up to investors’ very rosy expectations. Both bond yields and mortgage rates reversed course in response.  

At the current average 30-year fixed mortgage rate of 4.21 percent, the monthly payment for a $200,000 loan is $979.20.

SURVEY RESULTS

30-year fixed: 4.21% — down from 4.32% last week (avg. points: 0.28)

15-year fixed: 3.45% — down from 3.57% last week (avg. points: 0.22)

5/1 ARM: 3.50% — down from 3.57% last week (avg. points: 0.32)

Bankrate’s national weekly mortgage survey is conducted each Wednesday from data provided by the top 10 banks and thrifts in 10 top markets.

For a full analysis of this week’s move in mortgage rates, go to www.bankrate.com

The survey is complemented by Bankrate’s weekly Rate Trend Index, in which a panel of mortgage experts predicts which way the rates are headed over the next seven days. The panelists are fairly evenly divided this week, with 36 percent expecting mortgage rates to continue falling and an equal 36 percent forecasting that mortgage rates will remain more or less unchanged over the coming week. The remaining 28 percent of respondents predict mortgage rates will resume their climb during the next seven days.