TODAY'S DEALS: Kennedy Wilson Lands Bay Area Asset
Kennedy Wilson acquires a 544-unit asset in the Bay Area; Marcus & Millichap arrange a 152-unit Class A sale in central Texas; and the Bruckal Group acquires a condo conversion in Tempe, Ariz.
Hayward, Calif.—Kennedy Wilson has acquired the Waterford, a 544-unit community in Hayward, Calif. The company and its partners picked up the asset for $86.5 million, with $68.1 million in financing from Freddie Mac at 3.69 percent, fixed for ten years.
Waterford is comprised of 29 two and three-story residential buildings. Amenities include two swimming pools with spas and a playground. Kennedy Wilson plans to enhance the amenities and upgrade property aesthetics.
“This acquisition is an excellent opportunity for us to employ our long term experience in repositioning and managing large multifamily communities,” says Robert Hart, president of Kennedy Wilson Multifamily Management Group. “Additionally, Waterford is in a strategic job centric infill location and situated in the East Bay near the entrance to the San Mateo Bridge, providing convenient access to residents commuting to the Silicon Valley, South Bay and San Francisco and making it a very attractive investment.”
Marcus & Millichap brokers the sale of a 152-unit Class A asset in Texas
Round Rock, Texas—Marcus & Millichap Real Estate Investment Services has arranged for the sale of The Links at Forest Creek, a 152-unit community located in Round Rock, Texas. Terms of the sale were not disclosed.
“The combination of low vacancy and above-average rent growth continues to attract apartment investors to the Round Rock area,” says Joe James, a senior associate at Marcus & Millichap’s Austin office who represented the local seller along with Kent Myers. “Many of the region’s young professionals prefer the freedom of renting, which bodes well for local apartment owners, as the 25-to-34-year-old age cohort is forecast to grow this year,” James adds.
The Links at Forest Creek was completed in 2010. Amenities at the property include covered parking, a clubhouse, fitness center, and swimming pool.
Bruckal Group acquires Tempe lofts to operate as luxury rentals
Tempe, Ariz.—Bruckal Group has closed on Farmer Lofts, an 18-unit luxury condo development located in downtown Tempe, Ariz. The group paid $6.7 million for the 2007-built asset. The project was originally to be sold individually but is not being operated as rentals with plans to sell individually in the future. Bruckal brought in partner Synergy Properties Inc. of Vancouver, B.C., to help with the acquisition. 1st Bank of Arizona provided the financing.
“We are excited to add this premium property to our Phoenix portfolio,” says Steven Bruckal of the Bruckal Group. “Tempe is recovering very well and we are confident the market for this type of high end product will come back along with that recovery.”
Units consist of 2,500 square feet arranged on three levels with double garages, roof top decks and a community swimming pool. Six of the 18 units are set up for work/live use. The purchase marks Bruckal Group’s fourth acquisition in the Phoenix market in the last 18 months.
