Greysteel Closes 200-Unit TOD Sale in Virginia
- May 27, 2014
Fredericksburg, Va.—The Greysteel Co. has arranged the sale of Townsend Square Apartments, a 200-unit transit-oriented community located in Fredericksburg, Va. The buyer was Federal Capital Partners, who picked up the asset from seller Insight Property Group. Greysteel’s multifamily team was led by Ari Firoozabadi, John F. Mullen, W. Kyle Tangney, Lance Ahmadian, Caleb Brown, Mike Bediones and Jake Ying.
The community was developed in 1995 under the Section 42 Low Income Housing Tax Credit (LIHTC) program, which mandates that 100 percent of the units be offered to residents with incomes not to exceed 60 percent of the area median income.
“The robust population growth, limited new supply, and access to employers in the local submarket made Townsend Square a highly desirable asset garnering substantial interest,” states John Mullen, director of multifamily investment sales at Greysteel. “It was a pleasure to work with both Insight Property Group and Federal Capital Partners—we wish the both continued success.”
Orion lands Houston management gig
Houston—Orion Real Estate Services Inc. has been tapped to manage The Oaks at Timbergrove, a 372-unit community located at 1700 Seaspray Court in Houston on the edge of the city’s historic Heights neighborhood. The asset is owned by Arel Capital.
“We chose Orion Real Estate Services as our property management partner in the Houston area based on their strong local presence, hands-on management team, and service-oriented staff,” says Richard Leibovitch, managing partner, Arel Capital. “Orion is able to meet all of our needs from property due diligence to onsite management and reporting.”
Orion Real Estate Services Inc. is a full-service, multifamily residential management company with a growing portfolio of more than 27,000 apartment homes under management throughout the nation.
Centerline facilitates $18.5M funding of acquisition
New York—Centerline Capital Group, a provider of real estate mortgage services for affordable and conventional multifamily housing, announced it has provided an $18.5 million Freddie Mac loan facility to enable the acquisition of a multifamily property located in Everett, Wash.
The Lakes by Mill Creek Apartments is a 223-unit, garden style apartment complex. The property was built in 1986 and features a standard amenity package. While the roof and exterior painting are new, many of the unit interiors are original.
The borrower is 128 Partners LLC, a single-purpose entity formed in Delaware. “This was the perfect buyer for this property,” says Peter Clasquin, Director, at Centerline Capital Group. “Although the project is 99% occupied today, a moderate renovation plan will enable the buyer to realize material upside in rents. The owner may then obtain a supplemental loan, sell the property, or simply enjoy their low fixed rate. To meet their goals we structured an extended open prepayment period and we prefunded multiple renovation reserves with maximum flexibility on draws.”
Centerline’s servicing team will ensure continuity and communication throughout the loan term—a feature still lacking in CMBS lenders, who sell off servicing to a third party. Riverstone Residential Group will provide professional property management services.