Rhodium Buys 462-Unit CT Portfolio
- Aug 21, 2017
Rhodium Capital Advisors acquired a portfolio consisting of 462 units located in the Cambridge district of Bridgeport, Conn., for $30.5 million. The portfolio is comprised of Cambridge, a 179-unit community, and 13 other buildings with an average of 22 units each. The company partnered with Toronto-based Firm Capital Organization in the transaction.
Located at 2209-2225 Main St., Cambridge is the largest community of the portfolio, offering 170 studios and nine one-bedroom suites. The three-story property was built in 1932 and features hardwood floors, laundry facilities and controlled access. According to Yardi Matrix data, the community last traded in 2016, when Kolich Holdings paid $8.5 million, or $117.6 per square-foot, to a private seller. The property has an occupancy rate of 99.4 percent.
The other properties that have been acquired by Rhodium are clustered in four areas around the city and are located at: 1465 E. Main St., 340 Putnam St., 299 Berkshire Ave., 644-654 Park St., 30 Granfield Ave., 80 Granfield Ave., 85 Price St., 1575 Iranistan Ave., 898-930 Norman St., 1421 Fairfield Ave., 850 Hancock Ave., 1054 Hancock Ave., and 1590 Barnum Ave.
Jeffrey Seidenfeld, managing director of Eastern Union Funding, arranged the debt financing for the acquisition. Mark Belsky, principal of Eastern Union Equity, served as equity investment advisor.
Rhodium plans to invest approximately $1 million on building-wide capital improvements and $1.6 million to upgrade and modernize the units.
“This acquisition represents the latest implementation of Rhodium’s geographical diversification program with a substantial acquisition in Fairfield County, Conn. We are excited about the growth in the area, as well as the prospects of great value enhancement for our portfolio. We fully expect that our tenants, partners, and lenders will quickly see the benefits of Rhodium’s business plan and expertize,” said Daniel Shragaei, managing principal of Rhodium, in a prepared statement.
“This acquisition demonstrates our partner’s ability to source long-term value-add investments,” added Eli Dadouch, CEO of Firm Capital.
Image courtesy of Yardi Matrix