TODAY'S DEALS: $200M L.A. Development Breaks Ground
J.H. Snyder Co. breaks ground on a $200 million asset in L.A.; Colony Hills Capital lands a 2,000-unit portfolio in Alabama; and ARA brokers the largest multifamily sale to-date in New Hampshire.
Los Angeles—The City of Angels is set to see its largest residential development since 2008 with J.H. Snyder Development’s 464-unit high-rise complex known as The Vermont. The mixed-use project is set to rise on a two-acre corner lot along Wilshire Boulevard.
Washington Capital Management is the lead equity investor into the massive $200 million project. At the end of 2011, JP Morgan closed on a construction loan and Bentall Kennedy closed on a mezzanine loan, giving way to this week’s ground breaking.
“This is a significant investment that will transform the long vacant two-acre dirt lot into the new heart of one of L.A.’s most energetic neighborhoods,” says Jerry Snyder, senior partner at J.H. Snyder Co. “It feels great to move a significant, job-creating project forward at a time when new construction activity of this scale is scarce.”
The two high-rise towers will surround a quarter-acre courtyard. There will also be approximately 40,000 square feet of ground floor retail. Amenities will include a lounge-style workplace, a pool, fitness center, and private day spa.
Colony Hills Capital Secures 2,000-Unit Portfolio
Mobile, Ala.—Colony Hills Capital has secured an off-market portfolio of more than 2,000 units located in Mobile, Ala. The units are located in five separate communities, and were acquired for a purchase price of $98 million.
Colony Hills Capital will have $45 million under management as of June 18th when it completes its most recent purchase in Atlanta. When the acquisition of the Mobile portfolio is complete, the company will have over $143 million worth of assets under management.
ARA brokers largest multifamily sale to-date in New Hampshire
Salem, N.H.—ARA recently brokered the sale of Brook Village West, a 169-unit market rate apartment community in Salem, N.H. The transaction represents the largest multifamily sale in New Hampshire so far this year.
The property sold to Forest Acquisition Fund LLC, a Massachusetts-based property management and asset-repositioning firm with a portfolio of 4,000 units in Massachusetts, Connecticut, Rhode Island, New Hampshire, and Florida. The seller was represented by ARA-New England’s Senior Broker, Terence Scott.
“Brook Village West is centrally located within one mile of the Massachusetts border, offering excellent access to I-93, major employers, and retail centers,” said Terence Scott. “The property will undergo major upgrading of the units and common areas to compete more efficiently in the Salem market.”
ARA New England reports that rental rates have been steadily growing in the Southern New Hampshire region, with occupancy averaging 97 percent. This can be attributed to the steady job growth in the state, which boasts a 5.2 percent unemployment rate, 3 percentage points below the national average. Occupancy at the time of sale was 98 percent.
