TODAY’S DEALS: Berkeley Point Capital Lands $40M for Houston Buy
Berkeley Point Capital sources $40 million for a Houston purchase; IPA brokers the sale of two assets in Reno for $35 million; and HFF secures $91 million in construction/permanent financing for Cathedral Commons.
Houston—Berkeley Point Capital has provided $40 million in first mortgage proceeds for the acquisition of AMLI Towne Square Apartments, a 380-unit community located in Houston. Built in 1999, the property consists of 22 four-story buildings. It was purchased by Baron Properties and will be renamed Standard on West Dallas.
The loan was structured under the Fannie Mae DUS program as a seven-year, 3.46 percent fixed-rate mortgage with two-years interest only and five years maintenance then par. The transaction marks the 14th multifamily loan transaction between Berkeley Point Capital and Baron Properties.
Standard on West Dallas is Baron’s first multifamily purchase in Houston, though the firm has a significant industrial portfolio in the city. The new owner has a $4.4 million capital improvement plan in the works, which will update common area amenities and allow for interior improvements.
Two Reno assets trade for $35M
The ViewReno, Nev.—Institutional Property Advisors has brokered the sale of The View Apartments, two Class-A communities in Reno that total 308 units. The sales price was $35 million. IPA represented the seller, Fore Property Company. The assets were purchased by RPM Company Management Group.
“Operations in Reno have steadily improved over the past 12 months, offering investors compelling yields with the ability to originate new financing at historically low interest rates,” says Phil Saglimbeni, vice president investments at IPA. “The combination of these factors results in strong cash on cash returns.”
Developed in two phases and completed in 2009, The View Apartments have unobstructed mountain and city views. Amenities include fitness centers, swimming pools, and clubhouses with lounges, kitchens and media rooms. Units are also fairly large, averaging 1,032 square feet in size.
HFF secures $91M construction/perm financing through Northwestern Mutual
Washington, D.C.—HFF announced today that it has secured $91 million in construction/permanent financing for Cathedral Commons, a mixed-use development totaling 264,272 square feet in Washington, D.C.
HFF worked on behalf of the borrower, a joint venture between Giant of Maryland and The Bozzuto Group, to secure the 13-year, fixed-rate, construction/permanent financing through Northwestern Mutual.
Upon completion, Cathedral Commons will include 137 luxury multi-housing rental units, eight luxury townhomes and 128,852 square feet of ground-level retail space. The retail portion of the property being leased by H&R Retail is 60 percent pre-leased and will be anchored by a 56,000-square-foot, state-of-the-art Giant Food grocery store. The project is located at 3336 Wisconsin Avenue in the Cathedral Heights neighborhood of Washington, D.C.
The HFF team representing the borrower was led by managing director Mark Remington and director Daniel McIntyre.
“This is the successful culmination of a process that began by securing The Bozzuto Group as the development/joint venture partner for Giant of Maryland and then fully capitalizing the construction. Together, Giant of Maryland, Bozzuto and Northwestern Mutual will bring this trophy-class asset to life,” says Remington.
