Element-Portfolio-Eugene-OR

Cardinal Group, TPG Real Estate Acquire Four-Property Student Housing Portfolio Near University of Oregon

by Amy Works

EUGENE, ORE. — A joint venture between Cardinal Group Investments and TPG Real Estate Partners (TREP) has acquired The Element Portfolio, a four-property student housing portfolio serving students attending the University of Oregon in Eugene.

The 383-bed portfolio is located within walking distance of campus. The new ownership plans to enhance the portfolio through in-unit renovations, furnishing units at three communities and amenity space enhancements. Unit upgrades will include updated flooring, stainless steel appliances, new faucets and bathroom vanities, and new paint throughout.

Cardinal Group Management will manage the properties while Cardinal Group Construction will manage the value-add construction projects. Agency Fifty3 will oversee marketing and branding.

Peter Katz of Institutional Property Advisors, a division of Marcus & Millichap, represented the undisclosed seller.

CBRE advised on debt for the acquisition, which was added to an existing Fannie Mae credit facility formed for Cardinal and TREP’s joint venture. Ben Roelke and Ian Walker of CBRE’s Capital Markets Debt & Structured Finance arranged $26.9 million in acquisition financing for the buyer. The seven-year loan features a 2.6 percent floating rate, full-term interest-only payments and a flexible prepayment structure.

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