HUD Announces $3.92B Package to States for Neighborhood Stabilization
By Anuradha Kher, Online News EditorWashington, D.C.–U.S. Housing and Urban Development Secretary Steve Preston today allocated a total of $3.92 billion to all states and particularly hard-hit areas trying to respond to the effects of high foreclosures. HUD’s new Neighborhood Stabilization Program (NSP) will provide targeted emergency assistance to state and local governments to acquire and redevelop foreclosed properties that might otherwise become sources of abandonment and blight within their communities.In a telephone press conference held this morning, Preston said, “This money can be used to buy properties at a discount, rehabilitate properties and even assist people who want to…
Q&A with Bret Bobo: With More Problems Should Come More Opportunity
Bret Bobo (pictured) is the CEO of Outlook Capital, a newly launched real estate investment firm based in Miami. The company has raised funds from foreign investors to acquire distressed condominium projects in South Florida and hold onto them for future disposition when markets recover. Prior to joining Outlook Capital, Bobo was involved in various large real estate development and sales projects in the Miami market. He was formerly COO at YOO, USA Inc., where he was responsible for securing design contracts and overseeing co-marketing efforts on behalf of multi-million dollar condominium projects in South Florida such as the $260 million…
Contemporary Luxury Tower to Rise Near U.N. Office
By Erika Schnitzer, Associate EditorNew York–The 25-story Alexander Plaza, a 52-unit luxury condominium, is now under construction. Developed by Continental Finance Corporation (CFC) and designed by Sydness Architects PC, the project is set to open in 2010.Located at 315 East 46 Street, the project is in the same neighborhood as the United Nations. The building’s design juxtaposes it against the older masonry buildings in that area, explains Jeff Sydness, principal, Sydness Architects PC. “It’s a glass building with a contemporary design.”The building features a triangular entry plaza, front and back glass facades folding vertically inward and a three-story v-shaped top,…
TODAY’S DEALS: 390-Unit Rental Property Acquired for $30M, and Other Transactions
By Anuradha Kher, Online News EditorHappy Valley, Ore.–Monterey Springs Holdings L.L.C. has received $30 million in acquisition financing for Monterey Springs Apartments (pictured), a 390-unit garden-style apartment complex in Happy Valley, Ore., less than 15 miles from Portland. The borrower relied on Red Mortgage Capital Inc. to facilitate the Fannie Mae DUS DMBS mortgage loan, which carries a seven-year (3-year interest-only) term amortized over a 30-year period. A 28-year-old property consisting of 21 three-story structures, Monterey Springs underwent a renovation encompassing 192 of the residences three months ago. Monterey Springs Holdings, owned by affiliates of Denver-based Maxim Real Estate Investments…
Opus Breaks Ground on 391-Unit Luxury Apartment Community
By Anuradha Kher, Online News EditorLisle, Ill.–Opus North Corp. recently broke ground on Arboretum Landmark, a 391-unit luxury apartment community, located within the Corporetum Office Campus in Lisle, Ill. The project, which includes one- and two-bedroom units, is expected for delivery in late 2009. “We started construction this month and it was difficult to get financing but fortunately, apartment deals are still popular,” Andrew Lockwood, real estate manager for Opus North, tells MHN. “Lenders want to invest in well-located, infill projects.”Lockwood adds that they are expecting the apartment market to be stronger in 2009 as the economy starts recovering. “Since it…
Multifamily Interest Rates Stay Low Amid Financial Turmoil
By Keat FoongExecutive EditorChicago—Interest rates remain relatively low for multifamily permanent loans at the moment despite the turmoil in the financial world. Sue Blumberg, senior vice president and managing director in the Chicago office of NorthMarq Capital, says that spreads for Fannie Mae financing have for the most part held steady. For Freddie Mac financing, spreads have fluctuated more, but they have done so “within a narrow range,” she said. Where spreads have widened, they have been countered by lower Treasury rates with the result that interest rates are still in the low-6-percent range for 10-year Fixed Rate Mortgages (FRMs)….
EDITOR’S NOTE: In the Shadow of the Financial Crisis
By Keat Foong Executive EditorPhew! What a week! Our very own event Multi-Housing World 2008 Conference and Exhibition was held in Denver last week. Within less than a week—a week—prior to the conference starting, the following happened: The government took over Fannie Mae and Freddie Mac, Lehman Brothers collapsed, and the sale of Merrill Lynch was announced. And on the day the conference began, on Wednesday, the newspapers were filled with reports of the government bailout of insurance giant AIG. The next day, the stock market plunged. And by the end of our three-day educational and networking get-together, the Administration…
TODAY’S DEALS: Forest City Enterprises Closes $250M Construction Loan for Waterfront Station, and Other Transactions
By Anuradha Kher, Online News EditorWashington, D.C.–A consortium of five lenders will provide $250 million in construction financing for the initial phase of Forest City Enterprises Inc.’s new project, Waterfront Station, in Washington, D.C.Waterfront Station, located adjacent to the Waterfront/Southeastern University MetroRail station on M St. SW and 4th St., is a mixed-use redevelopment that will feature residential as well as office and retail components. “Closing this non-recourse financing in the midst of current credit-market conditions is a testament to a strong project in an excellent location, as well as to Forest City’s sponsorship, its partners and a great group…
HUD, FEMA Launch Rental Assistance Program for Families Displaced During Ike
By Anuradha Khrer, Online News EditorHouston–The U.S. Department of Housing and Urban Development (HUD) and the Federal Emergency Management Agency (FEMA) have jointly launched a rental assistance program that will provide temporary rental payments and case management services to help thousands of families displaced by Hurricane Ike. The new program, slated to begin Nov. 1, 2008, will help families find intermediate housing.”It is critical that we provide a degree of stability in the lives of these families until they can get back on their feet,” says HUD Secretary Steve Preston. “Knowing you have a roof over your family’s head for…
NHMC, NAA to End Joint Legislative Program in March 2009
By Erika Schnitzer, Associate EditorWashington, D.C.–The National Multi Housing Council (NMHC) and National Apartment Association (NAA) have announced plans to end their joint legislative program, effective March 1, 2009.For the past 17 years, NMHC has represented both organizations before Congress, federal agencies and the judiciary.“We will not be changing anything we’re doing. We’ve been able to put together a great lobbying team and we’ll work on all issues at the federal, state and local levels,” Jim Arbury, senior vice president of government affairs for NMHC, tells MHN, adding that those local issues will include telecommunications, rent control and the environment.Representing…