Post Brothers Completes Largest Market-Rate Philly Buy in 2012
- Dec 19, 2012
Philadelphia—Gebroe-Hammer Associates has orchestrated the largest market-rate multifamily trade in Philadelphia this year (by units) with the $51 million sale of Presidential City Apartments, a 1,030-unit community located at 3900 City Ave. The asset was sold by a New York-based private investment company and acquired by Post Brothers Apartments. As part of the off-market transaction, the seller is retaining a ground lease, which provides the potential for redevelopment.
“Boasting prominent frontage and name recognition, the well-located four-tower Presidential City Apartments is an ideal match for the new buyer, who plans to reposition the complex in order to realize its Class A potential,” says Joseph Brecher, managing director at Gebroe-Hammer Associates. “Plans include a full-scale renovation to further enhance the property’s performance.”
Presidential City Apartments was built in 1950 with a mix of studio, one-, two- and three-bedroom units. Amenities include an outdoor Olympic-size pool, a fitness center and a recently renovated lobby.
Berkeley Point Capital arranges $29.1M first mortgage to pay off existing bridge loan
Charlotte, N.C.—Berkeley Point Capital LLC recently provided $29.1 million in first mortgage proceeds for the refinance of University Center, a Class A, 372-unit, garden-style apartment community located in Charlotte, N.C. The property was developed in 2008 and stabilized in late 2010 and early 2011.
This transaction was structured under the Freddie Mac Capital Markets Execution as a seven-year, 3.41 percent, fixed rate loan with yield maintenance. Proceeds from this new financing were used to pay off an existing bridge loan.
Berkeley Point Capital’s Brian Kochan, director in its Bethesda, Md. office led the transaction for the Berkeley Point team. The sponsor, Real Estate Capital Partners, is a real estate investment advisor focused on creating superior risk adjusted returns by investing in existing and to-be-built apartment, office, industrial, retail and mixed-use properties in the United States. This transaction represents the first financing Berkeley Point has provided for the sponsor.
“We are pleased to work with this sponsor to help meet their investment strategy needs,” said Jim McDevitt, president, Berkeley Point Capital. “In addition to delivering the terms as promised, we were able to deliver an additional $1 million in proceeds above our original application. We look forward to an ongoing partnership with the firm and look forward to continuing to illustrate our ability to execute.”
Unique Burbank property trades for $15.6M
Burbank, Calif.—An entity of Champion Real Estate Cos. has acquired Villa 600, an unusual 62-unit building located at 600 E. Olive Ave in Burbank, Calif., for $15.6 million. The sale was brokered by Lee & Associates-LA North/Ventura.
“This was a rare property, well located a short distance from downtown Burbank,” says Craig Stevens, who represented the buyer and the seller with his team at Lee. “It reflects an era gone by when builders constructed apartment buildings with an owner unit, and this particular owner unit was highly unusual. It is a luxury penthouse with its own pool.”
Aside from the 8,000-square-foot penthouse, the property also has a common area pool and views of the Verdugo Mountains. Champion plans to renovate the 1973-built asset.