TODAY’S DEALS: PCCP, B&M Management to Acquire 736-Unit Community in Alabama
A PCCP-B&M Management Company JV will acquire a 736-unit Class B community in Huntsville, Ala.; Charles Dunn Company completes the sale of an 18-unit apartment building in Los Angeles; and Marcus & Millichap brokers a $13.5 million sale of a defaulted note and judgment.
The Reserve at Research Park
Huntsville, Ala.—PCCP LLC has formed a joint venture with Alabama-based B&M Management Company to acquire The Reserve at Research Park, a 736-unit Class B community located at 6200 Rime Village Dr. in Huntsville, Ala. The asset was picked up in an off-market transaction.
“PCCP believes our investment in The Reserve at Research Park represents a good risk-adjusted return given the significant capital work recently completed by the seller,” says John Randall, senior vice president at PCCP. “Additionally, the area’s strong fundamentals and the high occupancy of the property provide even more stability as the market remains tight, with no significant new construction in the area.”
The Reserve at Research Park was built in phases between 1986 and 1998. The property recently underwent a $5 million renovation that improved the clubhouse and fitness center, and provided for new lighting through the grounds, a dog park and a sports court. The community is located next to Cummings Research Park, which is the second-largest research park in the country with 10 million square feet of office space and 25,000 employees.
Charles Dunn completes 18-Unit property sale for $4.2M
821 Wilcox Ave.
Los Angles–Charles Dunn Company has completed the $4.2 million sale of an 18-unit multifamily property that was built in 2002 and located at 821 Wilcox Ave. in Los Angeles. Charles Dunn’s Michael Hibbert represented the buyer. KW Commercial’s David Meir represented the seller.
“The southern section of Hollywood is a great location for multifamily property as rents are continuing to climb as vacancies decline,” says Hibbert. “The Wilcox neighborhood has seen extensive re-development over the past year or so, which provides an investor the opportunity to purchase now in an improving locale.”
The property consists of 18 two-bedroom apartments with monthly rents that range from $1,600 to $2,200. Unit amenities include central heat and air, balconies, fireplaces and secured entry.
Marcus & Millichap brokers $13.5M sale of defaulted note plus judgment
New York–Marcus & Millichap Real Estate Investment Services closed on a $13.5 million sale of a defaulted note and judgment collateralized by a seven-story, mixed-use building located at 146-148 West 28th St. in the Chelsea section of Manhattan.
The property includes 26,296 square feet of existing improvements and 66,800 of available development rights, says J.D. Parker, vice president and regional manager of the firm’s Manhattan office.
The Marcus & Millichap investment team of Associate Barbara Dansker, Associate Vice President-Investments Adelaide Polsinelli, and Associate Matt Rosenzweig, all based in the Manhattan office, represented the local lending institution in the sale of a defaulted note and judgment.
“The agents were able to identify the inherent value of the note and judgment, and took it to a sophisticated group of investors who immediately recognized the value of this transaction,” says Parker.
“The lender had elected to pursue the personal guarantee instead of commencing a foreclosure of the mortgage,” says Dansker. “This gives the buyer of that judgment two options: He can pursue the collection on the judgment and when he has exhausted all remedies, if the judgment is not paid in full, he can then commence a foreclosure action on the mortgage to satisfy the remaining debt,” says Dansker.
