Jones Lang LaSalle Obtains $103M for Prime Properties
- Oct 22, 2012
Renton, Wash.—Jones Lang LaSalle Capital Markets experts announced the firm secured $103 million in senior financing for two multifamily properties on behalf of Fairfield Residential Apartments LLC. Prudential Life Insurance Company provided the seven-year, fixed-rate loans on the properties, called The Reserve and The Sanctuary, which total 880 units and are located in Renton, Wash.
Executive Managing Director Tom Fish, Managing Director David Young and Executive Vice President Holly Minter led the Jones Lang LaSalle team on this financing.
“Multifamily continues to be the strongest property sector in the greater Seattle MSA, as this financing proves. We garnered a significant amount of interest from the lending community eager to expand their portfolios in the Pacific Northwest and were able to secure excellent terms for Fairfield,” says Minter.
“We’ve witnessed a strong economic recovery in this region, and a steady uptick in job growth leading to a surge in demand for apartment housing. Generation Y is leading the movement to the West Coast and Seattle is the top draw for this group under age 35,” says Young.
The five-story properties are located in The Landing, a master-planned mixed-use project, and they sit on a combined 7.83 acres. They were built in 2009 and 2010. Apartment amenities include a swimming pool and spa, clubhouse, parking garages, picnic area and conference rooms. Fairfield Residential is the property manager for both assets.
Jones Lang LaSalle Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. The firm’s in-depth local market and global investor knowledge delivers the best-in-class solutions for clients—whether a sale, financing, repositioning, advisory or recapitalization execution. In 2011 alone, Jones Lang LaSalle Capital Markets completed $60 billion in investment sale and debt and equity transactions globally. The firm’s dealmakers completed $52 billion in global investment sales and buy-side transactions, equating to nearly $216 million of investment trades completed every working day around the globe. In the United States, Jones Lang LaSalle grew its total Capital Markets volumes by 122 percent in 2011 and is quickly gaining market share across all property types. The firm’s Capital Markets team comprises more than 1,200 specialists, operating all over the globe.
EdR, UK begin $133.7 million Phase II
Lexington, Ky.—EdR has completed the contracting process with University of Kentucky for Phase II of a private-public partnership that is currently in the process of a complete on-campus housing overhaul at the school. Phase II will see an additional five residence halls with more than 2,300 beds on schedule for delivery in the summer of 2014.
The $133.7 million cost of a Phase II is being financed through EdR’s On-Campus Equity Plan. Future phases in consideration include the addition of more new residence halls in the next five to seven years, which will bring University of Kentucky’s total on-campus housing to approximately 9,000 beds.
Phase I, a 601-bed dorm known as New Central Residence Hall, is currently under construction. The entire endeavor is proving to be one of the largest and quickest expansions in the history of student housing.
“Revitalizing our campus infrastructure—in this still challenging economy—will require us to be innovative and creative,” says Dr. Eli Capilouto, president of the University of Kentucky. “This partnership with EdR underscores our commitment to move forward creatively but responsibly. It is one more way that we are honoring the Kentucky Promise for another generation and for the Commonwealth that we serve.”
Colliers completes two REO sales in L.A.
Los Angeles—Colliers International has sold two REO properties in Los Angeles County through the auction process. Amargosa Creek, a 216-unit asset located in Lancaster, Calif., sold for $14.4 million. Yukon Apartments, a 58-unit asset located in Hawthorne, Calif., sold for $5.9 million plus a buyer’s premium of $293,100.
Kitty Wallace, based in Colliers West L.A. office, represented the seller of both properties, special servicer LNR Partners. She also represented the buyer of Amargosa Creek, FAOF Amargosa LLC, a Delaware company. Thomas Pattenaude of Colgate Capital Inc. represented the buyer of Yukon Apartments, The Montecito Apts Investments LP.
“This was our first time selling via an online auction, and it was enlightening to watch the whole process unfold,” says Wallace. “The auction spans 48 hours during which pre-approved bidders compete for the properties. They are able to see all bids live as they come in. “It gets intense, especially toward the end, but it is extremely gratifying to watch the winning offers come in all-cash with no contingencies.”