TODAY'S DEALS: American Campus Communities Begins Drexel University Project
American Campus Communities begins a $97.6 million mixed-use development at Drexel University; Marcus & Millichap lists a 137-unit asset in the Bay Area; and KeyBank provides $44 million in Freddie Mac funding for three communities.
Philadelphia—American Campus Communities has scheduled the groundbreaking for its $97.6 million mixed-use project at Drexel University for February 21. The project will transform Chestnut Street between 32nd and 33rd Streets into a new gateway for Drexel and University City featuring 361,200 square feet of student housing and retail space. The targeted completion date is September 2013.
“This innovative partnership combining dynamic urban retail with high-quality student housing will serve as a catalyst in continuing the revitalization of our campus and surrounding community,” says John Fry, president of Drexel University.
The development was structured via American Campus’s American Campus Equity program under which the firm will develop, own and manage the project through a 70-year ground lease structure and make annual ground rent payments to Drexel.
Development designs include two eight-story buildings that front Chestnut Street and a 19-story residential tower located at the corner of Chestnut and 32nd Street. About 860 beds of high-quality housing will be available to students.
Amenities will include a 14,800-square-foot community center with a gaming area, fitness center, meeting space, theater and laundry.
137-unit asset hits Bay Area market
Brentwood, Calif.—Marcus & Millichap Real Estate Investment Services has landed the exclusive listing rights for Town Centre Commons, a 137-unit asset located in Brentwood, Calif., a city near San Francisco. The 114,080-square-foot property is situated on 7.3 acres near downtown Brentwood. Brandon Geraldo is representing the seller.
“Strong apartment rent growth in San Francisco and parts of the South Bay continue to support renter migration to East Bay,” Geraldo says. “Brentwood is a fast-growing community that is continuing its transformation from a primarily agricultural area into a well-balanced residential Contra Costa County suburb of the greater Bay Area.”
The asset is comprised of 13 two-story buildings built between 1991 and 1996. There are nine floor plans available in studio, one-, two- and three-bedroom homes that average 832 square feet.
KeyBank provides $44M in Freddie Mac funding for three communities
Columbus, Ohio — KeyBank Real Estate Capital recently closed on $44 million in Freddie Mac financing with Preferred Living on three multifamily communities located in the Columbus, Ohio, market. Key originated the loans through Freddie Mac CME and the funds will be used to refinance all three properties. Key secured favorable loan terms because of their long-standing relationship with Freddie Mac.
The transactions include:
A $17.2 million loan for Kenyon Square, a 213-unit Class A Garden-style Apartment Complex in Westerville, Ohio, located north of Columbus.
A $14.8 million loan for Alexander Square, a 204-unit Class A Garden-style Apartment Complex in Worthington, Ohio, located north of Columbus.
A $12.1 million loan for Mercer Square, a 168-unit Class A Garden-style Apartment Complex in Columbus.
Since it was founded in 1996, Preferred Living has built over 3,000 multifamily and condo units. They specialize in building Class A products that target young professionals by providing amenities such as game rooms, theatres, pool areas, and exercise facilities. Currently, Preferred Living has a multifamily portfolio consisting of 1,200 units in Columbus.
