TODAY’S DEALS: Archstone Buys Marina del Rey Apts for $44M
Archstone buys a 205-unit asset in SoCal; Multi-Employer Property Trust lands a Dallas tower; and Pure Multi-Family REIT announces plans for a $52.5 million buy in Dallas-Fort Worth.
Marina del Rey, Calif.—An Archstone-sponsored partnership has completed the acquisition of Bay Club, a 205-unit asset located in Marina del Rey, Calif. The community is located on the west shore of the marina on Tahiti Way, just a few blocks away from the beach. The purchase price was $44 million.
“We are excited about our continued growth in Marina del Rey, a highly desirable location in one of our largest core markets—Southern California,” says Charles Mueller Jr., president and chief operating officer at Archstone. “Archstone Marina Bay is an excellent addition to our portfolio and increases our presence in Marina del Rey to four apartment communities, representing 1,649 units.”
The community will undergo a renovation that calls for modernized and refaced exterior faces, redesigned floor plans and high-end apartment features. The boat slips at the marina will also be replaced with longer, upgraded slips.
MEPT, Bentall Kennedy buy a Dallas assetMondrian Cityplace
Dallas—Multi-Employer Property Trust and Bentall Kennedy (the real estate advisor to MEPT) have announced the completed purchase of Mondrian Cityplace, a 218-unit apartment community located in Dallas. The asset was sold by USAA Real Estate Co., which was represented by Holliday Fenoglio Fowler. The sales price was undisclosed. The 20-story, 98 percent leased asset is located in the Uptown neighborhood of Dallas.
“Mondrian Cityplace is a strategic acquisition for MEPT since it provides the Fund with an investment in a high-quality, stabilized asset in the Uptown submarket of Dallas, which is one of the strongest rental markets in the U.S.,” says David Antonelli, executive vice president and MEPT portfolio manager at Bentall Kennedy.
The Class A asset has an amenity package that includes a 24-hour concierge, controlled access, a pool, garden with an outdoor fireplace and barbecue area, a business center, Internet café and a 24-hour fitness center. The property has 40 different floor plans with high-end finishes that average 1,432 square feet, which is significantly larger than the average unit footprint in the submarket.
Canadian REIT to invest $52M in Dallas-Fort Worth
Dallas—Pure Multi-Family REIT LP has entered into an agreement to acquire a 464-unit community located in the Dallas-Fort Worth metropolitan area for an aggregate purchase price of $52.5 million.
The acquisition is being funding with equity from the Canadian REIT’s IPO that closed on July 10 and a loan assumption of approximately 62 percent of the purchase price. The loan assumption, which is the approximate principal amount of $32.6 million, bears interest at 6.02 percent, and is payable on a 30-year amortization period. The community’s purchase price represents a 7.4 percent going-in cap rate.