TODAY'S DEALS: HFF Lands $52M in Acquisition Financing for Texas Student Housing
HFF secures financing for two student housing acquisitions; and Tryko Partners nearly doubles its multifamily holdings in 2011.
Lubbock & Denton, Texas—Holliday Fenoglio Fowler has secured acquisition financing totaling $52 million on behalf of The Scion Group and Arch Street Capital Advisors for this acquisition of The Retreat at Denton and The Retreat at Lubbock. The Class A, cottage style assets serve The University of North Texas in Denton and Texas Tech University in Lubbock. Upon acquisition The Scion Group rebranded the properties to The Republic at Denton and The Republic at Lubbock.
HFF placed the five-year, interest-only loans with Freddie Mac’s CME Program. An $18.2 million loan was arranged for the Denton property, a $34 million loan was arranged for the asset in Lubbock.
The Republic at Denton is a125-unit asset with 492 beds. It was completed in 2011 and has 97 percent occupancy. Amenities include a saltwater pool, volleyball court, theater, gaming room, horseshoe pit, basketball court, fitness center, tanning beds, poker room, music studio and clubhouse.
The Republic at Lubbock has 218 units with 853 beds. The 98 percent leased property opened in the fall of 2011. Amenities include a clubhouse, fitness center, pool, volleyball court, poker room, movie theater, golf simulator, horseshoe pit, putting green, basketball court, tanning beds and a pet-friendly community.
HFF senior managing director Dave Keller and senior real estate analyst Ken Martin represented The Scion Group in the transaction.
Tryko acquires 75 units, caps year of growth
Atlantic City, N.J.—Tryko Partners LLC has closed a 12-month period of aggressive growth with the acquisition of Barclay Arms, a 75-unit affordable housing asset in Atlantic City, N.J. The property offers two-, three- and four-bedroom, garden-style units. Occupancy is in the high 90 percent range. The asset was picked up from Max Gurwicz Enterprises in an off-market sale.
In the last 12 months Tryko has nearly doubled its multifamily portfolio and significantly expanded its skilled nursing holdings. The Brick, N.J.-based firm added more than 1,800 residential units and 200 nursing home beds in 2011, with another 680 housing units under contract to close in the first quarter of 2012.
“We have seen a lot of good deals come onto the market,” says Uri Kahanow, Tryko’s director of acquisitions. “It seems that sellers are generally more realistic today than they were immediately following the market crash. That said, we are grateful to have been able to take advantage of several opportunities that fit our firm’s strategy and focus.”
