TODAY’S DEALS: Lee & Associates Completes $40.9M Las Vegas Transaction

Lee & Associates completes a $40.9 million acquision transaction in Las Vegas; AREA and ECI recapitalizae a multifamily portfolio to the tune of $208.5 million; and Continental Real Estate Companies completes a $6.8 million sale in Florida.

Colonial Grand at Palm Vista

Las Vegas—Lee & Associates represented buyer Colonial Properties Trust in their acquisition of a 341-unit Las Vegas apartment community for $40.9 million. The all-cash sale closed in 27 days. Jim Fisher and Stephen Peters, principals at Lee & Associates, worked on the deal.

“Colonial Properties Trust came back into the market after exiting it in 2007 with very specific requirements for multifamily acquisitions, and we were able to identify an off-market opportunity that met its requirement within four weeks,” Fisher says.

The property, Colonial Grand at Palm Vista, is one of three acquisitions Colonial Properties has recently made with funds from the close of a $100 million “at-the-market” equity offering program and an unsecured credit facility. Located a 6300 McCarran St., Colonial Grand at Palm Vista is a private, gated community that offers one-, two- and three-bedroom units ranging from 786 to 1,236 square feet. Amenities include a clubhouse, fitness center, European pool and a spa.

AREA and ECI Group recapitalizes a 10-property multifamily portfolio

New York—AREA Property Partners and ECI Group have announced the joint venture recapitalization of a portfolio of 10 multifamily assets owned by ECI Group with a total transaction value of $208.5 million. The Class A portfolio is 95 percent leased and consists of 2,746 units, with six of the assets located in Atlanta, three in the Tampa area and one in Athens, Ga.

The strategic transaction allows ECI to recapitalize maturing debt, providing liquidity to fund future acquisitions with AREA, and enables AREA to invest $52 million in multifamily markets.

“We are extremely fortunate to have teamed up with AREA Property Partners and to benefit from their financial acumen and asset-management experience,” says Seth Greenberg, chief executive office at ECI. “As a result of restructuring debt, along with access to additional capital from AREA, our firm can increase our presence in existing markets and be in a position to close transactions quickly to take advantage of immediate market opportunities that are emerging in the multifamily sector.”

Continental Real Estate completes a $6.8 million sale

Altamonte Springs, Fla.—Miami-based Continental Real Estate Companies has completed a $6.8 million sale of 155 of the 316 total units at the Oasis at Pearl Lake Condominium in Altamonte Springs, Fla. The Class A development has an overall occupancy rate of 97 percent. The sold units include more than 120,000 square feet and contain a mixture of one- and two-bedroom units. Peter Mekras, vice president at CREC, represented both the seller and buyer in the transaction. The seller was a South Florida-based condominium converter, and the buyer was Oasis Orlando Real Estate LLC.

“The high level of demand surrounding the sale of 155 units at The Oasis at Pearl Lake is a positive sign that cash flow is in high demand and that condominium inventory has become more liquid due to the Distressed Condominium Relief Act and continued market recovery,” Mekras says. “By collaborating with the lender and borrower, CREC was able to maximize proceeds from the sale through a formal marketing process.”

The property was built in 1988 and was acquired, renovated and converted to condos in 2006. Amenities include a lakefront clubhouse, tennis courts, a swimming pool and a fitness center.

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