News
In Wake of Slowing Economy, Developers Offer Incentives to Attract Renters, Buyers
By Anuradha Kher, Online News EditorNew York–This is the year of incentives. The housing crisis, followed by the economic downturn and loss of jobs, is putting a downward pressure on demand in the multifamily market. To tackle this problem, many developers, owners and managers are offering incentives such as one month’s rent free, free gym memberships, waivers on broker’s fees and in the case of condos, reduced prices and special events to attract more buyers. For example, in the past month, several renters signed up at 140 Mayhill, a 158-unit luxury rental community in Bergen County, N.J. due to…
Market Snapshot: Hartford, Conn.
By Erika Schnitzer, Associate Editor Hartford, Conn.—Hartford County was supposed to be “New England’s Rising Star,” following New Haven, Conn. as a prime market for development, according to Marcus and Millichap’s National Multi Housing Group. Historically, the city—known as the insurance capital of the country—shut down after 6pm, when workers fled to their suburban homes, explains Steve Witten, senior director in the New Haven, Conn. office of Marcus & Millichap’s National Multi Housing Group. Over the past few years, however, new multifamily developments have been delivered and Hartford was beginning to build momentum.But then there were massive job cuts and…
Apartment Guide’s Parent Company Saves Nearly $3M by Becoming Greener
By Anuradha Kher, Online News EditorNew York–Private Equity firm, Kohlberg Kravis Roberts & Co. L.P. (KKR) and Environmental Defense Fund (EDF) recently released initial results of their partnership, confirming that environmental management can drive business success even in today’s challenging economic climate. At three of its portfolio companies—U.S. Foodservice Inc., PRIMEDIA Inc., owner of Apartment Guide and Rentals.com, and Sealy Corp.—the partnership has saved $16.4 million and prevented more than 25,000 metric tons of greenhouse gas emissions in 2008.“These initial results provide a high note in this low economy,” says Gwen Ruta, vice president of corporate partnerships, EDF. “By generating…
Del-Sano Contracting Completes Construction on $16.8M Redevelopment Project
By Anuradha Kher, Online News EditorHoboken, N.J.–Del-Sano Contracting Corp. has completed construction of Garden Street Lofts (pictured), a luxury residential building in Hoboken, N.J. Garden Street Lofts’ certification is pending as New Jersey’s first luxury residential project to earn the Silver LEED (Leadership in Energy and Environmental Design) rating. The $16.8-million redevelopment project will also be Hoboken’s only LEED-certified residential building upon certification. The project took 25 months to complete and is already 50 percent sold. Garden Street Lofts was redeveloped from an existing 42,888-sq.-ft. structure erected in 1919. This former coconut processing and storage warehouse was constructed of structural steel,…
RentBureau and RentGrow Announce Integration of Screening Data
By Erika Schnitzer, Associate EditorWaltham, Mass.—RentBureau, the credit bureau for the multifamily industry, and RentGrow, a provider of online resident screening services, have announced that they will team to integrate their solutions. RentGrow will begin implementing RentBureau’s data this week.“For a long time, we’ve been providing our services directly to apartment companies, but we believe it’s important to make it easier for to get information. RentGrow aggregates the information to get the best screen. We know we can add a lot of value because we are based on rental histories,” Eric Hartz, president and CEO of RentBureau, tells MHN. “This…
Quality Cabinets’ New Line with Knotty Maple Wood
Quality Cabinets has introduced knotty maple, a new wood species known for its rustic look to its existing product offerings. The new species is available in two new door styles, Meriwether (pictured) and Wayfarer. “Knotty maple is a species of wood that offers an informal charm of a forest cabin or a mountain lodge,” says Mary Jo Mosiniak, product manager. Knots of varying size and color throughout the wood characterize knotty maple. The maple also has mineral streaks, bark pockets, worm holes, heartwood, sugar tracks as well as clear, unmarked wood, providing a distinctive character to every board. No two…
TODAY’S DEALS: Gebroe-Hammer Associates Completes Sale of Six Properties for Over $20M, and Other Transactions
By Anuradha Kher Online News EditorJersey City, N.J.–Gebroe-Hammer Associates completed six property transactions in the Essex and Hudson counties. One mixed-use and five multifamily communities featuring 225 units sold for a total of more than $20.7 million.The 150-unit 317-343 Fairmount (pictured) and 62 Kensington Avenues in Jersey City, N.J. sold for $12.5 million. The five mid-rise buildings are located in close proximity to Journal Square and Saint Peter’s College. Each features an all-brick façade and a mix of one-, two- and three-bedroom units. The buildings were approximately 80 percent occupied at the time of sale.According to Gebroe-Hammer, area rental rates…
INSIDE THE DEAL: Buyer Sidesteps Tougher Terms from Bank
By Keat Foong, Executive EditorValley Glen, Calif.—What do you do when your bank comes back to you with modified terms just as you are about to close? The $5.2 million purchase of 6125 Fulton Apartments demonstrates the financing complications that can arise in today’s markets, and how, despite all, the sale can still be concluded. The purchase contract was signed in the fall during the midst of the September/October 2008 financial crisis. The buyer, Franklin Management, was a strong long-time client of the lender, a bank with which it had more than 10 loans, says Rick Raymundo, vice president of…
Global Links Corp. Completes Funding To Develop Line of Factory-Made Modular Studios
By Anuradha Kher, Online News EditorLas Vegas–Global Links Corp. has recently received financing to fully fund the final development of the Domain Studio Condo unit. The Domain Studio is a factory-made modular component, which can be placed on a commercial base, stacked on top of each other, placed in the backyard or anywhere else the buyer chooses to place it. The 576 sq. ft. condo unit is now in the final stages of development and will be ready for viewing in about two weeks. It costs $72,000 and comes with a fully equipped kitchen as well as a washer and…
Pending Home Sales for January Fall Sharply, but Housing Affordability is at Record Highs, Says NAR
By Anuradha Kher, Online News EditorWashington, D.C.–Pending home sales declined on the heels of a weakening economy as some buyers waited on the sidelines for clarity on housing stimulus provisions, according to the National Association of Realtors (NAR).The Pending Home Sales Index, a forward-looking indicator based on contracts signed in January, fell 7.7 percent to 80.4 from a downwardly revised reading of 87.1 in December, and is 6.4 percent below January 2008 when it was 85.9. The index is at the lowest level since tracking began in 2001, when the index value was set at 100. “Even with many serious…