TODAY’S DEALS: 29th Street Capital Buys Value-Add Apartment in Georgia
29th Street Capital acquires a 210-unit asset in Marietta, Ga.; Bascom completes its second acquisition under its new private capital program; and Eastern Consolidated arranges a $15.5 million sale of a mixed-use portfolio.
Marietta, Ga.—29th Street Capital (29SC) has its 13th multifamily acquisition since 2013 with the purchase of Pointes of Marietta. The 210-unit community is located on the west side of Marietta, Ga., in Cobb County. 29SC purchased the community through its high net worth fund.
According to the buyer, the submarket is poised to benefit from the relocation of the Atlanta Braves to Cobb County in 2017. In addition, the market has little multifamily supply. 29SC plans to invest more than $2 million to upgrade property exteriors, amenities and unit interiors. Upgrade plans include an updated leasing center, a new fitness center, the addition of a playground and new signage and paint.
“This acquisition fits our overall strategy perfectly,” says Javier Bustillo, senior vice president of acquisitions for 29SC. “We are looking for 1980s or ’90s built assets that are well-located, are in good school districts, have strong and/or improving area demographics and can achieve rental upside through implementation of a value-add program. Pointes hits the mark on every single category. The response we have received thus far has been overwhelmingly positive and are very excited to add this asset to our portfolio.”
Bascom acquires 38 multifamily units in Santa Ana
Santa Ana, Calif.—The Bascom Group has picked up a 38-unit apartment community at 701 East 5th Street in Santa Ana, Calif. The sales price was $4.2 million, or $109,211 per unit. Meridian Capital’s Jonathan Wintner and Olga Alworth arranged debt financing from Banc of California. Emanuel Real Estate Group represented Bascom on the transaction.
Built in 1955 and 1961, the property features two apartment buildings in the Station District area of downtown Santa Ana.
“The North Santa Ana submarket carries one of the highest occupancies for rental product in Orange County,” says Lee Nguyen, senior vice president, operations, for Bascom. “This, coupled with new demand pressures for upgraded interior units will allow us drive onsite performance and continue benefitting from the positive changes in Santa Ana.”
This is the second acquisition under Bascom’s new Private Capital Platform, which focuses on buying smaller, value-add multifamily properties in infill locations in Southern California with high net worth accredited investors. Bascom recently acquired the Amabel Townhomes, a 13-unit community located at 309 Amabel Street, Los Angeles, Calif., for $2.3 million in May 2014.
Eastern Consolidated arranges $15.5M sale of mixed-use portfolio
New York—Eastern Consolidated has arranged the sale of a three-building, mixed-use portfolio at 3600, 3604 and 3610 Broadway in Hamilton Heights for $15.5 million.
The package, totaling 43,703 square feet, includes: 19,150 square feet at 3600 Broadway; 11,500 square feet at 3604 Broadway; and 13,053 square feet at 3610 Broadway. The three walk-up buildings contain a total of 35 apartments with 173 rooms, and 11 retail units.
“We received many inquiries for this portfolio, which is located in a rapidly changing and easily-accessible area of Upper Manhattan,” says Matthew Sparks, a senior director at Eastern Consolidated who represented the seller and procured the buyer. “The increasing demand for apartments in this neighborhood just north of Columbia’s expansion with an influx of new retail, and the availability of larger spaces for lower prices, continues to draw in professionals and artists from downtown.”
The properties at 3600, 3604, and 3610 Broadway are located at the northeast corner of West 148th Street, two blocks from the Hudson River, and three blocks from the No.1 subway station. Retail tenants at the three properties include Dunkin’ Donuts, Baskin-Robbins and The Chipped Cup, among others. There is excellent subway connectivity to the west side downtown via the A and D train just two blocks away.
The attorney for the buyer was Jeffrey Goldberg Esq. of Sadis and Goldberg LLP. The attorney for the seller was Robert Teitelbaum Esq. of Konner Teitelbaum & Gallagher.
