MetLife to Invest in $317M UDR Tower
- Dec 11, 2013
San Francisco—UDR Inc. has expanded its long-term relationship with MetLife Inc. via a new joint venture agreement that has the life company investing in the construction of 399 Fremont in San Francisco. MetLife will have a 49 percent share of the approximately $317 million project, while UDR will own 51 percent. 399 Fremont will be a 42-story tower with 447 market-rate units in San Francisco’s Rincon Hill neighborhood. Delivery is expected for 2016.
“San Francisco is a key market that fits directly into MetLife’s strategy to expand our investments in the top markets in the United States,” says Robert Merck, global head of real estate at MetLife. “We already have a successful relationship with UDR, and this significant deal in the Bay Area further cements our partnership.”
Amenities at the community will include a sky lounge, pool, fitness center, pet care center and 3,500 square feet of retail space. The community will be within walking distance of BART stations and the Transbay Transit Center.
The partnership between UDR and MetLife dates back to November 2010 with a seven community portfolio acquisition. One of the largest multifamily acquisitions of 2011 was UDR/MetLife’s $630 million purchase of five high-rise building in Manhattan known as Columbus Square.
World Class Capital acquires a student housing asset in Texas
San Marco, Texas—World Class Capital Group has acquired State Flats, a 162-unit student housing community in San Marcos near Texas State University’s main campus. The property is located on Aquarena Springs Drive with additional frontage of IH-35.
“Salt Flats fits our value-add strategy in the student housing sector,” says Sheena Paul, vice president at World Class Capital Group. “We seek to acquire student housing properties near growing universities. State Flats and the San Marcos markets stand to benefit from the growth of Texas State University.”
World Class owns and operates a national portfolio of commercial properties in 12 states and 25 markets.
CBRE Global Investors Fund acquires Phoenix-area apartment community
Los Angeles—A fund advised by CBRE Global Investors has acquired 90 Degrees, a Class A, 337-unit contemporary mid-rise apartment community in the Phoenix area that is 92 percent occupied.
Centrally located at 18440 N. 68th Street in a premier neighborhood of North Scottsdale, Ariz., the property is conveniently situated near the 101 Loop and Scottsdale Road interchange near many major area employers as well as numerous amenities, including high-end resorts, luxury retail and entertainment amenities, many of which are in walking distance.
Built in 2009, 90 Degrees features a comprehensive common-area amenity package and condominium-quality unit finishes, including two resort-style pools, granite countertops, modern appliances, loft-style floorplans, private decks and wood flooring.
Within a mile of the property, the population is expected to grow by 9.6 percent through 2018, which is 60 percent more than the MSA.
“Scottsdale is considered a very desirable area with strong demographics that will support long-term demand for rental housing,” Kimberly Hourihan, portfolio manager, says. “The neighborhood is in the path of growth as evidenced by many employers expanding and moving to the area, which will create strong demand for rental housing.”
“With dedicated asset management, the installation of a best-in-class property management company, and through the implementation of the ‘Inspired Lifestyle’ customer service program, the asset should outperform the competitive set and successfully differentiate itself as the preferred, urban-style rental option for young professionals,” Steve Gullo, managing director, CBRE Global Investors Multi-Housing Group, says.