Oak Grove Capital Closes $135.2M in Three Weeks

Oak Grove Capital closes a series of affordable, market-rate and seniors housing loans; Jason Cohen Pittsburgh buys a neglected property with planned repositioning; and Capital Fund Services arranges financing for a Southside Chicago housing.

St. Paul, Minn.—Oak Grove Capital has released details on 10 loans closed between Oct. 23 and Nov. 17 that total $135.2 million for affordable, market-rate and seniors housing across the United States. The largest affordable housing deal was $20.6 million for Cypress Cove Apartments, a 200-unit asset in Escondido, Calif. Tim Leonhard, managing director for affordable housing, facilitated that transaction.

The largest market rate deal was $26.6 million for Stratwood Apartments, a 297-unit asset in Minnetonka, Minn. That was facilitated by Scott Streiff, vice president. The chart below details the 10 loans.

Oak Grove

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Jason Cohen Pittsburg enters repositioning play

Pittsburgh—Local Pittsburgh real estate investor Jason Cohen has closed on a 47-unit property in the city’s Squirrel Hill for more than $3 million. While the property was described as being “in a state of total disrepair,” the asset’s prime location makes it an ideal buy for the repositioning specialists.

“We saw an opportunity where a large property was deteriorating and being mismanaged in a superb location. These chances don’t come often, so we jumped on it,” says Cohen.

Much of the planned $1 million in upgrades lean to the green side. Jason Cohen Pittsburgh will replace all lighting with energy-efficient LED lights. Improvements also cover plumbing fixtures with the latest water conservation technology and the addition of several site amenities that will leave a smaller footprint on the ecosystem. The addition of bike racks and welcoming of vehicle sharing programs will accommodate and promote environmentally conscious residents’ lifestyles. A currently unused courtyard will be converted into useable space with outdoor seating and sustainable landscaping that requires little water.

The investment group is contracting an out-of-state designer to completely redesign the premises. Each unit will be remodeled to include granite countertops and stainless steel appliances. Renovations are slated for completion by the spring of 2016 and the property will be available for renters during construction.

Capital Fund Services arranges financing for Southside Chicago housing

Chicago—Chicago-based Capital Fund Services (CFS), a related company of Great Lakes Capital Fund, arranged financing for a six-unit multifamily asset on the Southside of Chicago.

“The borrower is new to Chicago and we were pleased to help fund this smaller loan request as well as arrange a development line of credit,” says loan originator Paul De Kruiff, of Capital Fund Services. “It is great to see private capital investing in the neighborhood—we want to support that much needed investment activity,” said De Kruiff.

CFS was able to deliver the half-million-dollar loan the borrower was seeking on-time and as promised.