A Canadian Investment Group Picks Up Austin Apartments from Greystar
- Dec 01, 2014
Austin, Texas—A private Canadian investment group acquired Tree, a 335-unit Class A apartment community located in South Austin. The investment group bought the community from Charleston, S.C.-based Greystar and The Carlyle Group for an undisclosed amount. ARA represented Greystar and The Carlyle Group in the sale of the 2014-built asset. The property was 94 percent leased at sale.
“Tree was sought after by institutional and private investors seeking a core investment opportunity,” says Pat Jones, an ARA Austin-based principal. “Investors were drawn to the outstanding South Austin location, the excellent area demographics, and the luxury Class A product finishes.”
One of the property’s main assets is its location, just three miles from Austin’s CBD. Strong demographics are present as the average household income within a five mile radius is $62,961.
But the mid-rise community also features an above-market amenity package that includes a swimming pool with cabanas and lounge beds, a fitness center and an outdoor living area with ping pong tables, bocce courts, a fountain, hammocks, an outdoor kitchen and barbecue grills. The asset is also mixed use, sitting on top of 4,900 square feet of retail, with more than half of that space leased to Porter Ale House Gastropub.
Griffis Residential grabs 512 units in Austin
Austin, Texas—Griffis Residential announced a $55.5 million acquisition of The Orchard Apartments in Austin, Texas, a 512-unit Class A community located in the Round Rock area. The purchase brings the number units in Griffis Residential’s ownership and management portfolio to 5,658. It also represents the company’s entry into the Austin market, which is part of a planned market expansion strategy that moves beyond its Colorado and Nevada markets. The property was renamed Griffis Las Frontera.
“Our move into the Austin metro area underscores our commitment to expand into new markets that align with our property portfolio and investment objectives,” says Griffis Residential CEO David Birnbaum. “Griffis La Frontera is well positioned to capitalize on significant growth in rental demand due to Austin’s abundance of high quality jobs and its overall appeal to our target resident demographic. When these positive market dynamics are combined with our proven community management processes and capital improvement program, we have an excellent opportunity to drive results for our investors.”
The property was built in 1997. It sits near the La Frontera master-planned commercial park, the Forest Park Medical Center that will open this month, and the world headquarters of Dell Computer.
Griffis Residential has a $4 million upgrade platform in the works that will target common areas and units.
Oak Grove arranges $10M forward commitment for public-housing redevelopment
St. Paul, Minn.– Oak Grove Capital originated a $10 million Freddie Mac forward bond credit enhancement for the Tempo at Encore, a seven-story, apartment community offering 203 units for mixed-income residents.
The Tempo at Encore is the fourth development in a larger master-planned community known as The Encore. Through Freddie Mac, Oak Grove Capital is the permanent lender for all four multifamily phases of the development, totaling 103 market-rate and 559 affordable housing units.
Located in the northern area of Tampa’s downtown business district, The Encore is on more than 27 acres that were the former Central Park Village public housing site, which was razed in 2007. The Encore is permitted for 1,513 residential units, 85,000 square feet of retail—including a grocery store, 180,000 square feet of office space, a 200-room hotel and a middle school. Additionally, the planned development will include a central town green area for live performances and gatherings, and a museum honoring the area’s African American history. The master-planned community is developed in accordance to Silver LEED®-certified building applicant and includes its own water chiller plant and solar panel plant.
“Oak Grove Capital is proud to be a part of the Encore development, as the exceptional new housing in the area will provide great rental options with affordability for Tampa residents. The neighborhood will greatly benefit from the new construction and will see tremendous benefits,” says C. W. Early, vice president, Oak Grove Capital.
“We are blessed to have such a great business relationship with Oak Grove Capital’s team,” says Leroy Moore, COO, Tampa Housing Authority. “Not only does Oak Grove Capital bring competitive value to our deals, but also problem solving, flexibility and a spirit of corporate social responsibility to help meet the affordable housing needs of working families in our community.”