Author: ipgocorp

BALTIMORE, MD – State and local officials, as well as Baltimore City Mayor Stephanie Rawlings-Blake, joined Garver Development Group, Taylor Property Group and their honored guests to officially break ground on Highland Haus – a new apartment community being developed in Highlandtown near Patterson Park and Canton.

“Taylor Property Group is very pleased to be part of this high quality project, and happy the Mayor was able to join us today. Highland Haus will complement 1212 East, our 57-unit apartment building further south in Canton,” said Ross Taylor of Taylor Property Group.

Highland Haus apartments is being constructed on what was formerly the site of Haussner’s Restaurant at 3232 Eastern Avenue. Once complete, Highland Haus will be a 6-story building with 65 apartment homes, garage parking, and first floor retail space. The exterior of the building will be a combination of brick, stucco and metal panels, and a mosaic design mural will adorn one of the outside walls of the community.

The apartments will offer a variety of floor plans including studio, one and two bedroom options. High-end finishes will accent the interiors, such as quartz counters, brushed nickel fixtures, ceramic tile floors, and rich wood cabinetry. The community will have multiple amenity spaces including a state-of-the-art fitness center and a rooftop clubhouse with outdoor greenspace and a separate dog walking terrace. There will also be storage for bikes and a pet-washing station.

Located on the southern edge of the Highlandtown neighborhood in Baltimore City, the community is just blocks from Patterson Park, a 137 acre urban park with open fields, large trees, paved walkways, historic battle sites, a lake, playgrounds, athletic fields, a swimming pool, and other signature attractions. The community is also adjacent to Canton, a waterfront area on Baltimore’s outer harbor with eclectic shops, retail, and vibrant nightlife.

“We are thrilled to start Highland Haus, which will be catalytic for Highlandtown,” said developer Peter Z. Garver of Garver Development Group. “We’ve removed a structure that stood vacant for nearly 17 years, and are replacing it with a vibrant new building that will help energize the Eastern Avenue main street area.”

Highland Haus is scheduled for completion in late summer of 2017. Based on the extremely high interest in the community so far, Highland Haus is likely to be the area’s hottest new address.

NEW YORK, NY – Red Stone Equity Partners, a privately-held real estate finance and investment company specializing in multifamily residential funds and financings, announced the closing of Red Stone – 2016 National Fund, a $125-million multi-investor Low Income Housing Tax Credit (“LIHTC”) investment fund.

The 2016 Fund is the sixth multi-investor LIHTC offering sponsored by Red Stone Equity to close in the last five years and includes investments from seven institutional investors. The Fund’s proceeds will be used, along with other project-level financing sources, to finance the construction and/or rehabilitation of more than 1,300 units of affordable rental housing across 16 properties located in 10 different states. All 16 underlying properties will provide high-quality affordable rental housing for low-income families, seniors or special needs tenants.

“We are pleased to announce the closing of Red Stone’s sixth multi-investor LIHTC fund, which welcomes one new investor to our family of LIHTC funds, along with six repeat investors,” said Ryan Sfreddo, Red Stone’s Managing Director of Investor Relations. “We are pleased that our investor partners continue to demonstrate confidence in our ability to organize diversified, high-quality investment vehicles to meet their investing needs, and we look forward to prudently investing the fund’s proceeds to help address the growing affordable housing crisis gripping our great nation.”

With the closing of the 2016 Fund, Red Stone Equity has now raised $481 million of LIHTC equity for its LIHTC investment funds thus far in calendar year 2016. Since inception, Red Stone Equity-sponsored LIHTC funds have raised and invested more than $3.2 billion to finance the development of more than 23,000 units of affordable housing across 276 properties located in 32 different states, the District of Columbia and Puerto Rico.   

“The successful execution of our sixth multi-investor LIHTC fund in five years secures Red Stone Equity’s position as an established and consistent provider of quality multi-investor product within the tax credit industry,” states Eric McClelland, President of Red Stone Equity.

(RECAP: When the Tax Reform Act of 1986 was enacted 30 years ago–Oct. 22, 1986–few thought that the low-income housing tax credit (LIHTC), a small provision in the sweeping legislation, would change affordable housing in America. Yet as it celebrates three decades, the LIHTC is widely viewed as the most successful federal affordable housing program in history, surpassing even the most optimistic views in 1986. But what will affordable housing look like 30 years from now? We asked six affordable housing experts for predictions about affordable housing in 2046, in the interim and what should be done to bring about the best outcome three decades down the road. One conclusion: The biggest change could be soon.)

(RECAP: Millennials reaped the most benefits from this year’s low interest rate in August, as the average rates on home loans obtained by the generation fell to 3.76% for the month, the latest Ellie Mae Millennial Tracker data found. Ellie Mae, which offers clients loan origination software, launched the tracking tool in May of this year to give lenders insight into the latest and largest generation of homebuyers, Millennials. As the home loan rate for Millennials decreases, the average loan amount to Millennial borrowers increased to $181,326, growing from July’s average of $180,413. The average loan amount for both conventional and FHA loans also increased, to $203,884 and $172,667, respectively. The report also noted that the average FICO score for Millennial borrowers remained stable at 725 in August after rising the past few months.)

SEATTLE, WA – Rents in the West’s tech job centers are predicted to be among some of the fastest growing across the nation over the next year, according to the latest Zillow Rent Forecast for August 2016 to August 2017, which predicts rent trends down to the zip-code level across the U.S.

Rents in Seattle and Portland are expected to rise the most over the next 12 months — Zillow forecasts rent growth of more than 7 percent in Seattle and 6 percent in Portland. Denver, San Francisco and San Jose are forecasted to see rent appreciation of more than 4 percent. Only 11 of the 35 largest metros will see a slowdown in rents.  

Fast rising rents in the West continue a trend that’s been happening over the past several years. Seattle, Portland and Sacramento reported the fastest rent appreciation over the past 12 months. Last year, Miami and Boston were among the 10 fastest-growing rental markets, but over the next year San Jose and Cincinnati will replace them on the roster of the 10 fastest growing rental markets. Cincinnati is the only Midwestern metro to make the list.

Job opportunities and high salaries are drawing millennials to tech centers like Seattle and San Francisco, but the demand for a limited number of rental units available continues to drive up costs. Rents in these areas have been growing rapidly over the past year, with Seattle reporting the fastest growth at almost 10 percent.

“High rent growth in these markets is being driven by high demand and low supply,” said Zillow Chief Economist Dr. Svenja Gudell. “We have more renters today than in the past and most newly formed households are renter households. This taken together with a lack of new rental construction at less expensive price points has been a recipe for rising rents. There is good news for renters on the horizon, though. Current renters in these markets can expect rents to slow down a bit over the next year. Instead of the 10 percent rental appreciation we’ve been seeing in some places, expect growth more along the lines of 4 to 7 percent. This is still high, but will hopefully give renters some relief.”

MEXICO CITY, MX – HASTA Capital, a real estate private equity firm focused on rental residential housing in Latin America, announced the launch of its operations. Led and co-founded by former Greystar senior executives, Mark Hafner and Rodrigo Suarez, HASTA is focused on the investment, development and property management of residential multifamily rental housing in Latin America. HASTA will be headquartered in Mexico while the firm also evaluates opportunities in multifamily rental, student housing and senior housing in South America.

“The multifamily rental sector has flourished in the U.S. for over a half century and today represents the largest component of institutional real estate investment in the U.S.,” said Mark Hafner, HASTA’s Chief Executive Officer. “Across Latin America, the multifamily rental sector is a nascent industry, however that is changing rapidly. Demographic and socioeconomic trends, a rapidly growing middle class and a deficit of quality housing are fueling robust demand for high quality urban rental housing. The multifamily industry is poised for exponential growth in Latin America and presents one of the most compelling investment opportunities in global real estate over the next decade.”

While at Greystar, the HASTA team built the first institutional rental residential platform in Latin America and were leaders in pioneering the rental residential sector in the region. Prior to founding HASTA, Mr. Hafner was Senior Managing Director at Greystar, the largest operator of rental apartments in the United States. During 12 years at Greystar, Hafner led the acquisition and development of over $9 Billion USD of multifamily rental and student housing properties and led Greystar’s international expansion into Europe and Latin America.

Mr. Suarez, the Chief Operating Officer of HASTA, will also lead the firm’s operations in Mexico. Prior to founding HASTA, Mr. Suarez was Managing Director of Greystar’s Latin American business where he oversaw all of Greystar’s development, investment and property management activities in the region. “We are incredibly excited by the potential of the asset class in Latin America,” said Suarez. “These markets are primed for a sophisticated investor and developer to take advantage of this opportunity.”

(RECAP: As stores begin to open at the new 5th Street Station, people will be able to get there to shop or work via a new Charlottesville Area Transit bus route. But some are wondering if older shopping centers along CAT’s other routes can be redeveloped to give more people the option of living in a place where they have another transportation choice. “Many women with children who are required to work and want to work can’t work because they can’t get to a job in the prescribed period of time to get there,” said Anne Linden, an Albemarle County resident who faced that issue as a single mother of four children. Linden said the opening of shopping centers such as Stonefield and 5th Street Station has caused others to decline. “I know that there are big empty spaces in some of the malls,” Linden said. “Some of the space could be used for affordable housing and even some child care.”)

(RECAP: Buyers in Northern Virginia face a limited supply of homes, particularly for first-time buyers, says Nela Richardson, chief economist for Redfin real estate brokerage in Washington. Unlike suburban Maryland, where prices vary widely between Montgomery and Prince George’s counties, prices in Northern Virginia are relatively high everywhere. The highest prices are typically in neighborhoods closest to the District such as Arlington, McLean and Alexandria. Overall in Northern Virginia, median home sale prices from January through August 2016 rose just 0.5 percent to $432,000 from $430,000 in that same period in 2015.)

GREENVILLE, SC – PRG Real Estate, a leading multifamily real estate investment and management firm, announced the acquisition of 98 East McBee Apartments, located in Greenville, SC. 98 East McBee is a 55-unit luxury apartment community situated in the heart of downtown Greenville, South Carolina.

With a main-and-main address and condo-grade finishes, 98 East McBee is the pinnacle of luxury apartment living in Greenville. Proximity to major employers such as BMW, Michelin, and Fluor along with regional attractions such as Falls Park on the Reedy, the Swamp Rabbit Trail, and the Bon Secours Wellness Arena appoints the property as the Live-Work-Play community in the region.

Completed in 2014, 98 East McBee has some of the largest floor plans found in the urban core of the city with the apartment homes averaging 1,028 square feet. Unit interiors are of condominium-level quality and feature luxury amenities such as 10 foot ceilings, granite counter tops, stainless steel appliances, walk in closets, washers and dryers and door-less walk-in showers. The property’s leasing office and community room will undergo the most substantial updates, with new flooring, furniture and fixtures. “98 East McBee will be our 3rd property currently in the Greenville market,” states COO Kathleen Betz. “We are excited to take on the management of a luxury apartment community that possesses one of the most desirable addresses in the downtown Greenville market.”  

Founded in 1985 by Steven Berger and Jon Goodman, PRG Real Estate is a Philadelphia based real estate firm that acquires and manages quality apartment communities throughout the eastern half of the United States. Since its founding PRG has acquired well over 50 communities and 13,000 apartment units. PRG also has been designated as an Accredited Management Organization by the Institute of Real Estate Management (IREM) and holds membership in the National Apartment Association (NAA) as well as the National Multifamily Housing Council (NMHC).

PRESCOTT, AZ – Bascom Arizona Ventures has acquired the Prescott Lakes Senior Community, a 123-unit luxury independent living senior apartment community for $18,000,000 or $146,341 per unit. The property is located in Prescott, Arizona in the highly desirable Prescott Lakes master planned community.

Bascom Arizona Ventures worked with Brian Halpern and Alex Kane of Jones Lang LaSalle Americas, Inc. to arrange the debt financing for the purchase.  John Cunningham from JLL represented the seller on this transaction.

Built in 2003, the property consists of a clubhouse/leasing office, with a swimming pool, and cascading waterscape. Other amenities include a state-of-the-art fitness center, a garden, relaxing library, game room featuring billiards and cards, barbecue plazas, and complimentary scheduled transportation. Prescott Lakes offers its tenants the comfort of private and pristine living in the mile-high city of Prescott, but all the services and conveniences of city life just minutes away.  

Mark Brotherton, Portfolio Manager for Bascom Arizona Ventures, comments, “Prescott Lakes provided Bascom Arizona Ventures with a unique acquisition of a Class A apartment community in a market that has very high occupancy and limited new construction.  We are excited about our newest acquisition and look forward to commencing our value add program as soon as possible for our residents.”

Bill Wright, Asset Manager for Bascom Arizona Ventures, adds, “Bascom will recapitalize the property with exterior and interior renovations which will equip Prescott Lakes with the finest 55+ community amenity package in Prescott. The pool featuring a new in-pool lounge area, new entrances and remodeled clubhouse will be something not seen before in this community. The property will be state-of-the-art and we look forward to creating value for our new residents.”