Multi-Housing Executives on the Move
By Anuradha Kher, Online News EditorEd Hurley Hired as COO of Avanath CapitalIrvine, Calif.–Avanath Capital Partners has hired Ed Hurley (pictured right) as the company’s chief operating officer.“We share a common business philosophy and vision for the company,” says Daryl Carter, CEO of Avanath Capital Partners. “His tenacity and extensive industry knowledge and experience in the multifamily market will be a key component to the continued growth and success of Avanath Capital Partners.”As COO, Hurley will oversee the day-to-day operations of the firm, including asset management, finance and accounting, risk management, information technology and corporate administration. “Joining Avanath Capital Partners…
Apartment Sales Volume, Availability of Equity, Debt Capital All Decline
By Anuradha Kher, Online News EditorWashington, D.C.–Despite a sluggish economy resulting in a small decline in market tightness, overall apartment demand is holding up fairly well, according to the National Multi Housing Council’s (NMHC) latest quarterly survey. Sales volume is down and both equity and debt capital are less available, the study finds.The Market Tightness Index, which measures changes in occupancy rates and/or rents, decreased from 44 last quarter to 40 this quarter. For all four of the survey indices, a reading above 50 indicates that, on balance, conditions are improving; a reading below 50 indicates that conditions are worsening;…
Investcorp’s New $1B Credit Investment Vehicle Begins Deploying Capital
By Anuradha Kher, Online News EditorNew York–Investcorp’s U.S.-based real estate group recently launched a $1 billion vehicle funded with capital raised from Investcorp and its clients as well as a sovereign wealth investor in the Persian Gulf.“We will be acquiring performing loans across all property types and multifamily properties will be a significant component,” Peter Petron, principal of Investcorp, tells MHN. “This is actually a very good time for us to launch this fund because there is a lack of liquidity in the system and as a well capitalized company, we see a good opportunity.”Petron adds that the fund will…
Today’s Deals: Luxury High-Rise in New Jersey Sells for $23.55M, and Other Transactions
By Anuradha Kher, Online News EditorHackensack, N.J.–Gebroe-Hammer Associates recently arranged the sale of The Carlyle (pictured), a luxury hi-rise apartment building in the heart of Hackensack, N.J., for $23.55 million.Hekemian & Co sold the property to a private New Jersey-based investment group.“The Carlyle is at the center of Hackensack’s finest residential neighborhood and has earned a reputation for providing superior apartment-style living in close proximity to New York City,” says Ken Uranowitz, managing director at Gebroe-Hammer Associates. “It is rare that a property of this caliber comes to market in Bergen County, where multifamily housing product is being acquired at…
Del-Sano Contracting Breaks Ground on Two Phases of N.J. Continuing Care Community
By Erika Schnitzer, Associate EditorWest Caldwell, N.J.–Del-Sano Contracting Corp., a Union, N.J.-based construction management firm, has been selected to serve as the general contractor of Phases two and three for a continuing care retirement community in West Caldwell, N.J. The development, Crane’s Mill, will be the second project that Del-Sano has built for the owner, Lutheran Social Ministries of New Jersey (LSM/NJ), a faith-based, non-profit ministry that provides social services and affordable housing to seniors and families.The first phase of the project was completed in 1998. “The building has been fully occupied for two to three years, and we’ve had…
HUD Provides $600M to Modernize, Construct 4,100 Public Housing Units in Puerto Rico
By Anuradha Kher, Online News EditorNew York–The U.S. Department of Housing and Urban Development is expected today to sign a Puerto Rico bond refinancing and tax-credit approval, a financial agreement worth more than $600 million, including more than $200 million in tax-credit equity that will accelerate the modernization and construction of more than 4,100 public housing units in Puerto Rico.Deputy Secretary Roy Bernardi will join Puerto Rico Governor Anibal Acevedo Vila in signing the agreement at the JP Morgan office in Midtown Manhattan. This is the largest tax-credit equity investment in the history of the 22-year-old Low Income Housing Tax…
Q&A with Michael Cannon: I Don’t Think the Condo Market Has Gone Bust
Michael Cannon, managing director for Integra Realty Resources’ Miami office and 30-year commercial real estate veteran, says mixed-use projects can work if they are built for the right reasons but cautions that these types of projects potentially carry much more risk.He talks to MHN Online News Editor Anuradha Kher about what condo developers are doing in markets with no demand for condos, risks in condo conversion and the hot condo markets in the world.MHN: What are condo developers doing in markets where there is no demand for condos? Cannon: Worried condo developers with projects in the pipeline are getting creative…
Freddie Provides $73.9M in Bond Credit Enhancements to Preserve Linden Plaza
By Anuradha Kher, Online News EditorMcLean, Va.–Freddie Mac provided $73.9 million in bond credit enhancements to The DeMatteis Organization, as part of a credit facility with Wachovia Multifamily Capital and Red Stone Partners. The DeMatteis Organization will use the funds to help preserve Linden Plaza, a 1,527-unit affordable housing complex in Brooklyn, New York, which has historically had a very low vacancy rate. Red Stone Partners provided the first-loss mezzanine credit enhancement for the credit facility and arranged for the direct placement of $35 million in tax credit equity with a single investor. “The rehab will address deferred maintenance and…
EPA Publishes New Regulations for Lead Paint Renovations
By Erika Schnitzer, Associate EditorWashington, D.C.–The Environmental Protection Agency (EPA) recently released new regulations for its Lead-Based Paint Renovation, Repair and Painting Program (RRP). The guidelines establish rules for lead-based paint renovations, repairs and painting in housing and child-occupied facilities constructed prior to 1978 and are designed to prevent the introduction of lead hazards created by a renovation. They do not apply to abatements.The rule states that, beginning April 22, 2010, any person or firm performing the renovation must be properly trained and certified to use safe practices. Renovation firms will be required to be EPA-certified.Effective immediately, property owners and…
Praedium, Audubon Acquire 938-Unit Atlanta Portfolio
By Gail Kalinoski, Contributing Editor, Commercial Property News Atlanta–The Praedium Group and Audubon Communities Management have teamed up to buy a seven-property multifamily portfolio in the Atlanta metro region for approximately $45 million. The seller was not identified. It is the third joint venture acquisition made by Praedium, a New York City-based national real estate investment firm, and Audubon, an owner and operator of multifamily assets in the Northeast and Gulf South regions of the U.S. Information on the other JVs was not available. The 938-unit portfolio comprises 156 buildings, constructed between 1972 and 1999, located in Fulton, Henry, DeKalb,…