Tryko Acquires 170-unit HUD-Subsidized Seniors Asset

Tryko Partners buys a 170-unit seniors housing asset in Pennsylvania; Red Mortgage Capital LLC finances a $29.5 million structured ARM for a UDR property; and Charles Dunn Co. sells a 28-unit property in Canoga Park, Calif.

Galilee Village

Levittown, Pa.—Tryko Partners LLC has completed its purchase of Galilee Village, a 170-unit asset located in Levittown, Pa. The property provides HUD-subsidized housing for independent seniors. A new renovation plan should roll out shortly.

“Galilee Village already shows well and we look forward to further improving the quality of its accommodations,” says Uri Kahanow at Tryko.

Galilee Village is divided into two components: a 120-unit Village with efficiencies and one-bedroom units, and a 50-unit Pavilion with studio-style residences and services that assist with daily life, including meals and transportation.

“We are especially pleased to have gained a foothold in Levittown, which is a terrific suburban market just outside of Philadelphia,” Kahanow adds. “We are familiar with the area and have been looking for local opportunities for some time. This property is a true fit for us.”

Red Mortgage finances $29.5M structured ARM for UDR property

San Francisco—Red Mortgage Capital LLC processed and funded a $29,500,000 loan for an apartment community in San Francisco’s Bayview District near Candlestick Point.

Red Mortgage underwrote the $29.5 million Fannie Mae MBS/DUS Structured Adjustable Rate Mortgage loan for Ashton San Francisco with a 10-year term and 30-year amortization. The first 24 months are interest only and the variable rate is tied to one-Month Libor. UDR Inc. is the General Partner of the LLC that owns the borrowing entity.

Ashton San Francisco is a seven-story mid-rise apartment building with 110 one- and two-bedroom units. Built in 2010, the property has views of the San Francisco Bay, is ideally located just a few miles from San Francisco’s central business district, and has excellent access to transportation as well as to Candlestick Point State Recreation Area.

The strong market appeal of the property is further enhanced by numerous interior and exterior quality amenities such as large units, 10-foot ceilings and, in the common area, an elevated terrace with fire pit, lounge seating and views of the San Francisco Bay.

Charles Dunn Co. completes $3.1M sale

Canoga Park, Calif.—Charles Dunn Co. has completed a 28-unit sale valued at $3.06 million in Canoga Park, Calif. The property, located at 21700 Roscoe Blvd., was sold by Roscoe Villa LP and purchased by Minas Properties LLC. The asset is expected to operate at a 6.2 percent cap rate according to Charles Dunn Co.

“This property was encumbered by a loan with an interest rate that was substantially higher than current rates and had to be assumed due to the prohibitive prepayment penalty,” says Blake Rogers at Charles Dunn Co. “What’s interesting is that the property still sold for the lowest cap rate since 2008—an indication that even without the help of low interest rates, apartments are very desirable.”

The property was built in 1962 and was 100 percent occupied at the time of transaction. Amenities include a pool with sundeck.