Author: ipgocorp

(RECAP: As the price of housing in Charlottesville continues to climb, city officials are weighing several options to ensure that some homes remain affordable for those with lower incomes. City Council was presented Monday with a list of 35 policy recommendations made by the Housing Advisory Committee (HAC), which has spent the past year reviewing a report made by the firm RCLCO that examined housing trends in the community. Some of the changes would require the zoning code to be amended, some can be implemented by staff and others would require permission from the General Assembly. The HAC has also suggested Charlottesville emulate a program from Montgomery County, Maryland, that requires developers to build “moderately-priced dwelling units.” If a builder constructs more than 20 units, up to 15 percent of those new homes must be priced for moderate and low-income units.)

TUALITIN, OR – Sequoia announces the acquisition of Eddyline at Bridgeport, a 367-unit, Class-A mixed-use apartment building in Tualitin, Oregon. This acquisition increases the firm’s Portland-based holdings to more than 2,100 units.  Eddyline was completed with the LEED Silver certification in 2015.  It is comprised of 320,505 rentable square feet in three residential buildings in addition to 22,414 square feet across 10 retail spaces. 

The community’s direct access to Interstate 5 and Highway 217 provide residents quick access to the central business district, while still providing a refuge from fast-paced city life.  Eddyline is located one block from Bridgeport Village, one of the area’s largest retail and entertainment destinations, with more than 100-upscale storefronts, restaurants, and grocers.  The confluence of Eddyline’s Cascadian architecture, high-end amenities, walkability, and environmentally responsible design, resonates with the property’s target market.

General Partner, Director of Acquisitions, Pat Reilly says, “Eddyline at Bridgeport presented an opportunity to acquire a core suburban asset, with an urban flair, located just 15-minutes from Portland’s CBD.  Given the MSAs major employment drivers, relative affordability, and limited new supply, we were confident in the opportunity to attract and retain an exceptional demographic profile.”

The acquisition was facilitated by HFF.  Sequoia will provide the day-to-day management services for the building.

COLUMBIA, SC – Campus First Student Living and CF Real Estate Services LLC, in joint venture with a large private commingled fund, have acquired the Club at Carolina Stadium located less than 1 mile from the main campus of University of South Carolina. Campus First will be overseeing the management of this 486-bed property as well as a $2.7 million renovation. The property will now be known at Rivers Edge at Carolina Stadium as it is located adjacent to the Congaree River and across the street from USC’s recently completed upscale baseball stadium.

Campus First will bring their boutique style approach and expertise in property and construction management to reposition the asset into one of USC’s premier student housing options. As part of the extensive renovations, Campus First will be constructing a brand new clubhouse complete with a state of the art fitness center, private and shared study lounges, gaming area, a café, and large 2nd floor deck overlooking the pool and terrace area. Other improvements include a new outdoor kitchen, renovated Dog Park with dog washing station, two fire pit areas, enhanced landscaping and new signage. The exterior will receive a new paint scheme and other enhancements.

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 floor, 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.

Taking advantage of the amazing river location and direct access to Granby Park, the property plans to provide kayaks and canoes exclusively for resident use. The property will also be providing a new shuttle bus and electric bikes for use by residents to get to class.

“We are very excited about acquiring such a wonderful student asset and turning this living space into a premier Class-A property in the USC market through our planned renovation program,” states Christopher Feeley, President of Campus First Student Living.

WASHINGTON, DC – Arcapita, the global investment management firm, announced that it has acquired a privately-held portfolio of three senior living communities for a total transaction value of approximately $110 million in the metropolitan areas surrounding Washington D.C. and Atlanta. The properties will be managed by an affiliate of The Arbor Company, an experienced manager specializing in this sector.

The transaction follows Arcapita’s acquisition of three senior living communities for a total transaction value of approximately $87 million in Colorado earlier this year, building an approximately $200 million portfolio in the senior living sector in the United States.

The senior living sector is a strategic focus for Arcapita given its long-term investment return potential. In addition, Arcapita’s management team has significant experience in the sector, having previously acquired, managed and exited from a series of senior living investments with a total transaction value in excess of $1.7 billion in the United States and United Kingdom.

Arcapita’s current US Senior Living portfolio now consists of six independent living, assisted living and memory care communities offering a total of 506 units in the metropolitan areas surrounding Washington D.C., Atlanta, Denver and Colorado Springs. The properties are located in affluent suburbs of major US cities and are located in some of the largest and most economically attractive cities in the United States.

Atif A. Abdulmalik, Arcapita’s Chief Executive Officer, commented, “We see a lot of potential in the senior living sector. Our team has extensive experience investing in the senior living sector, having managed and successfully exited five senior living portfolios, consisting of over 74 properties, in the past. Previous investments both in the United States and United Kingdom have returned attractive IRRs and cash-on-cash multiples to investors. We are excited about the prospects of the latest addition to the portfolio and about working with The Arbor Company, a reputable senior living management company operating in this sector.”

Martin Tan, Arcapita’s Chief Investment Officer, added, “The senior population is the fastest growing demographic in the United States and the 65+ age group is expected to double in size by 2050. The supply of senior housing remains limited in certain sub-markets and the senior housing industry as a whole has outperformed multifamily, office and retail real estate sub-sectors to date. Through its experience in this sector, Arcapita has selected The Arbor Company, an Atlanta-based manager of senior living communities, to oversee the management of its latest acquisition given its over 30 years of experience in the Eastern and Southeastern regions of the United States.”

ARLINGTON, TX – Eagle Property Capital Investments announced the acquisition of Central Park, a 331-unit multifamily property located in Arlington, Texas within the Dallas / Fort Worth Metropolitan Area. The Property was acquired by EPC Multifamily Partners III, a private investment vehicle raised and managed by EPC. The Property represents the fifth acquisition for Fund III. 

DFW has one of the strongest fundamentals in the United States in terms of population, job, household income, and economic growth. The Property is in close proximity to abundant employment, recreation, shopping and entertainment venues. It is conveniently located less than 1.8 miles from the Arlington medical cluster, 2.0 miles from Arlington’s retail hub (which includes Arlington Highlands and Parks at Arlington Mall), 1.6 miles from University of Texas at Arlington and just 20 miles from the major employment centers of Downtown Fort Worth and Downtown Dallas.

EPC will execute its proprietary professional management standards to reposition the property as “best in class” and plans to make improvements and additional capital investments to exteriors, implement a thorough interior upgrade program with superior finishes and appliances and improve amenities. EPC will rebrand the community as Montecito Club Apartments within the first three months of ownership in conjunction with the planned investments and Property repositioning.

The acquisition was partially financed by an agency mortgage loan with a ten-year fixed interest rate, utilizing an innovative green financing program where EPC commits to reducing water or electricity consumption at the Property by implementing green initiatives.

“The acquisition of Central Park, soon to be Montecito Club Apartments, is another example of the opportunities we have seized this year to add quality, well located assets to our portfolio at prices well below replacement cost”, said Gerardo Mahuad, Partner at Eagle Property Capital Investments. “We are excited to be offering a variety of high quality apartments and price points in different areas of DFW “, Mr. Mahuad continued.

Fund III acquires repositions, rents and manages a portfolio of quality class B and C multifamily apartment communities in top growth metropolitan areas of the southern United States. With the acquisition of the Property, Fund III now has a portfolio of 1,434 apartment units.

(RECAP: The CFPB has posted its 2017 final lists of Rural and Rural or Underserved Counties on its website. The CFPB has previously posted lists of such counties for calendar years 2011-2016. The lists are relevant to exemptions in several CFPB mortgage rules, including the CFPB’s rule requiring creditors to establish escrow accounts for certain first-lien higher-priced mortgages.)

ATLANTA, CA – Emma Capital Investments announced the completion of the acquisition of The Chelsea Apartments (formerly Steeple Chase), a 306–unit garden style multi-family apartment community located at 5940 Singleton Road, Norcross, (submarket of Atlanta), Georgia at a purchase price of $26,010,000. This is Emma Capital’s 20th purchase in the United States and brings Emma Capital’s total number of units acquired to date to approximately 5,000 apartment units.

The Chelsea Apartments community is located in South Gwinnett on Singleton Road, 0.5 miles northeast of Jimmy Carter Boulevard and 1.5 miles from I-85, which provides seamless access to all of Gwinnett County and metro Atlanta.  The Property enjoys more than 1,700 feet of frontage on Singleton Road with excellent drive-by traffic and visibility.  Gwinnett County is the second most populous county in Georgia with over 860,000 people as well as one of the fastest growing counties evidenced by an almost 50% population increase since 2000.

The Property was built in 1984 and is situated in 23.15 acres featuring a mix of 306 residential units in 20 two-story buildings. It offers 6 different floor plans made up of 113 One-bedroom units, 169 Two-bedroom units, and 24 Three-bedroom units, averaging 956 square feet per unit. The community features a resort-like swimming pool, clubhouse, business center, fitness Center, clothes care Center, picnic/grill Area, sport court and beautiful landscaping. The property has a strong history of stable occupancy. 

“We are pleased to add The Chelsea Apartments to our growing portfolio in the Greater Atlanta Area,” stated founding Partner and Co-Owner Haya Zilberboim. “We are rebranding the property and will be updating its excellent amenity package. The property has seen strong organic rent growth over the past two years, with only 25% of the units being renovated. We see the potential to further increase unit rents through a comprehensive unit renovation program in the remaining units.  We aim to continue to deliver a strong value proposition to all of our current and potential tenants.”

“This is our 11th acquisition in the Atlanta area in the last 24 months,” added Partner and Co-Owner Oz Cohen. “Our ownership of approximately 3,000 units in MSA Atlanta, provide us with a very strong base to continue our rapid expansion.  We are ending 2016 on a very strong note and look forward to further expansion in 2017 and beyond.”

CHEVY CHASE, MD – Federal Capital Partners and Horizon Land announced the closing on Horizon MH Communities Fund I, L.P. (MH Fund I), a $106.0 million fund targeting manufactured housing investments throughout the United States. The fund, when fully invested, is expected to accommodate approximately $350 million of total investments.

MH Fund I has already closed 25 investments utilizing $48 million of fund equity and representing value of $160 million. The firm continues to expand to accommodate its increased assets under management and increasing U.S. footprint.

“FCP is extremely pleased to continue and expand its relationship with Horizon with our initial fund offering,” said FCP Managing Partner, Tom Carr. “Since completing our initial investment with Horizon in 2012, we have closed 57 transactions and grown the business into one of the key players in the industry. We are excited at the prospects for our initial fund given the opportunities present in the manufactured housing space.”

Ryan Hotchkiss, CEO of Horizon Land added, “We are very excited to have the flexibility of the additional capital available to close transactions and grow our business. We have a proven track record for closing deals and our access to fully discretionary capital also allows us to move quickly in the market.”

Horizon Land is an experienced owner-operator of manufactured housing communities. Formed in February 2006, Horizon Land purchased its first community in January 2007 and, through its joint venture with Federal Capital Partners, presently owns and manages 57 manufactured housing communities in 8 states in the Eastern U.S., comprising, in the aggregate, approximately 9,200 rentable sites.

Federal Capital Partners 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 is seeking debt and equity investments in commercial and residential real estate throughout the Eastern U.S. FCP buys assets directly as well as through joint ventures with local operating partners through equity, preferred equity or mezzanine debt investments.

(RECAP: New York Fed President Bill Dudley said he would be open to changes to banking regulations, though he cautioned against returning to the way things were before the financial crisis. President-elect Donald Trump has said he would be in favor of repealing the Dodd-Frank regulations put in place after the financial system nearly collapsed in 2008. “I think it would be a big mistake to go back to the pre-financial crisis set of regulations that we had in place,” he added. “That said, is Dodd-Frank perfect? I would be very hesitant to say that. So if there are aspects of Dodd-Frank that could be improved, it would be completely reasonable for Congress to take that on, and it’s obviously up to them.”)

WASHINGTON, DC – Northridge Capital announce its partnership with local developer The FORTIS Companies on two, boutique condominium buildings that are being developed in Washington D.C.’s vibrant core. Together, Northridge Capital and FORTIS will deliver 74 brand new, luxury condominiums. These developments are located at 909 2nd Street, NE and 1628 11th Street, NW, and will cater to the needs of young urban professionals, “empty nesters,” and others looking for a luxury product in a live/work/play environment.

Pullman Place, located at 909 2nd Street, NE, is a 42-unit, boutique condominium that’s situated between NoMa, Union Market, and H Street Corridor, three of the District’s most dynamic and fastest growing neighborhoods. Totaling 41,000 gross square feet, Pullman Place will offer residents various amenities including a rooftop lounge and grilling station, private fitness center, and secured bike storage. Interiors will feature high-end gloss lacquered kitchen cabinets, quartz countertops, plank wood flooring and spa-inspired bathrooms.  Pullman Place is nearing completion and units are currently being marketed on a pre-sale basis by Urban Pace, the exclusive sales and marketing team for the project.

The second D.C. development underway by FORTIS and Northridge Capital is located near Logan Circle, at 1628 11th Street, NW. The urban-infill project will feature 32 top-of-the-line luxury residential units. The Project is situated squarely in the heart of the Logan Circle neighborhood, just two blocks from 14th Street and three blocks from both the Shaw and U Street Metro stations. The condominium units will average 1,060 square feet, featuring best-in-class finishes and design, including 10′ ceiling heights, custom European kitchens, Bosch appliances, Caesarstone and marble countertops, Porcelanosa bathrooms, Waterworks bathroom fixture, floor-to-ceiling glass windows, large landscaped patios and barbeque areas. The building will also accommodate 20 below-grade parking spaces and a comprehensive amenity package that will far exceed other boutique developments in the neighborhood, including a fitness center, rooftop lounge, fully vegetated roof and a dog washing station. The project is targeting completion by 2nd quarter of 2017.

Equity for both developments is being provided by Northridge Capital, LLC, on behalf of its overseas investors. Debt financing is being provided by EagleBank, which has been active in construction lending in the local Washington, D.C. metropolitan area.