TODAY’S DEALS: Hendricks & Partners Brokers $11.64M Sale of Apartment Community

Hendricks & Partners sells Sierra Ridge; AREA recapitalizes College Park; and Grandbridge closes a $13.6M multifamily deal.

Sierra Ridge in Citrus Heights

Citrus Heights, Calif.–Hendricks & Partners announced the sale of Sierra Ridge, located at 7434 Auburn Blvd in Citrus Heights. The 148-unit apartment community was sold for $11,635,000.

The Seller was SFC Sierra Ridge Investors L.P., a California limited partnership of Burlingame, Calif. The buyer was Bollibokka Land Company of Mill Valley, Calif. The transaction was negotiated by Steven A. Nelson and Al R. Inouye of the Sacramento office of Hendricks & Partners, who represented the seller.

AREA invests in ROSS recapitalization of College Park Apartments

College Park, Md.–Seven Springs Village Apartments in College Park has been recapitalized, announced ROSS Development & Investment (RDI), an affiliate of the ROSS Companies. AREA Property Partners invested in the recapitalization, which was in excess of $100 million.

ROSS successfully negotiated a modification and extension of the community’s existing, fully-performing securitized mortgage debt that was set to mature on Sept. 1, 2010. For over a year, RDI’s founder and principal, Scott Ross, navigated a solution to gain control of the property by acquiring the interest of a partner and then partnered with AREA Property Partners to pay off the existing loan with a new Freddie Mac recapitalization.

“Obtaining equity funding through private sources and bringing a new investment partner to the transaction was challenging in this economy. Changes in mortgage underwriting and regulations have created stumbling blocks for many owners, but based on the outstanding established performance of this community, we were able to achieve this recapitalization,” says Ross.

Seven Springs Village is a 982-unit apartment community comprised of both mid-rise and garden style buildings. Metrobus and the University of Maryland shuttle busses have stops within the community that provide access to two Metrorail stations and the University of Maryland, making it a sought after place to live.

“Seven Springs Village presented an attractive opportunity to invest in a stable asset with strong cash flow.  It offers a convenient location inside the Beltway and is fully leased,” says Richard Mack, AREA North America chief executive officer.

Part of the recapitalization plan is to renovate the apartments and enhance the common areas of Seven Springs Village. The ROSS Companies are also focused on the additional development opportunities at this community.

Grandbridge closes $13.6M Florida multifamily deal

Port St. Lucie, Fla.–The Ft. Lauderdale office of Grandbridge Real Estate Capital recently originated and closed a $13.6 million first mortgage loan secured by Bella Vista Apartments, a 268-unit garden-style multifamily community in Port St. Lucie, Fla.

Freddie Mac purchased the refinance loan under its Capital Markets Execution (CME) loan program. The borrower, a repeat customer, refinanced his existing Freddie Mac loan.

Senior Vice President Lance Lehman and Assistant Vice President Mitch Sinberg originated the transaction.

Built in 2002, the 54.77-acre Class A community features 17 buildings with a mix of one- and two-bedroom units with cathedral ceilings. Located approximately four miles east of the Florida Turnpike, the property is known for its numerous upscale amenities which include a clubhouse, business center, 24-hour fitness center, heated swimming pool, boat and RV parking, 24-hour laundry facility, and carports and private garages as well as screened patios and balconies overlooking lake and preserve views.

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