Cassidy Turley Closes $36M Sale in Phoenix

Cassidy Turley negotiates the sale of a Phoenix community for $36 million; Berkadia provides $35 million in two financings; and a Brooklyn asset hits the market for the first time in over 50 years.

Apartments at Steel Park

Phoenix—Cassidy Turley BRE Commercial is pleased to announce that Executive Vice Presidents David Fogler and Steven Nicoluzakis have completed the sale of the Apartments at Steele Park for $36,067,500 / $90,395 per unit.

The 399-unit multi-family property, located at 411 East Indian School Road in Phoenix, was built in 1999 and was purchased by an entity formed by Weidner Investment Services out of Washington. The seller was DMARC 2006-CD2 Indian School LLC, an entity controlled by LNR Partners out of Florida.

David Fogler and Steven Nicoluzakis, with Cassidy Turley’s Multi-Family Service Group represented the seller in the transaction.

Berkadia closes two deals totaling $35.3M

Portland, Ore. & Little Rock, Ark.—Berkadia Commercial Mortgage has recently provided $35 million for two multifamily assets. The firm’s Portland office closed a $23 million construction loan through HUD’s 221(d)(4) program for the construction of Prescott Street, a 155-unit asset in Portland, Ore. The loan featured an 88.3 percent loan-to-cost ratio, and allowed the developer, Prescott Apartments LLC, to begin construction on April 4, 2012. The transit oriented development also received a $400,000 grant from the City of Portland. The expected completion date is early 2014.

“We were able to guide the borrower through the lengthy HUD process and get them the financing needed to start construction, despite the fact that it has been difficult to obtain loans more than $20 million for multifamily projects such as these,” says Rob Affleck, vice president at Berkadia.

The Dallas office of Berkadia also recently closed $12.3 million in permanent financing through Fannie Mae for a four-story, 124-unit garden property in Little Rock, Arkansas. The 2011-built property was 93 percent occupied when the financing was placed. That loan was originated by John Koeijmans, senior vice president, and Frank Joyce, assistant vice president.

Brooklyn apartment buildings hit market for first time in 50 years

New York—Marcus & Millichap has landed exclusive listing rights for two 16-unit, four-story apartment building in Brooklyn’s Park Slope Neighborhood. Located at 719-723 Eight Ave., the two assets total 31,100 square feet in space on one tax lot. The $12 million listing price equates to $375,000 per unit. There is a 4.66 percent cap rate based on current income.

“This multifamily asset is on the market for the first time in over 50 years,” says Matthew Fotis, an associate vice president in the Manhattan office of Marcus & Millichap who is representing the seller, a private investors. “The building have excellent condo conversion potential and also make sense to hold onto as rentals.”

The asset is located one block from Prospect Park within walking distance to several subway lines. Twenty-one of the 32 apartments have been renovated in the last eight years.