CHICAGO — Emerald Empire has acquired Pangea Properties’ Chicago portfolio for an undisclosed price. The portfolio spans several hundred multifamily properties and thousands of units, 97 percent of which are designated as affordable for residents who earn up to 60 percent of the area median income. Arbor Realty Trust and NewPoint Real Estate Capital provided acquisition financing through Fannie Mae. Pangea’s Chicago-area employees will continue to manage the properties on behalf of Emerald Empire. Chestnut Ridge, N.Y.-based Emerald Empire maintains $2 billion of assets and roughly 17,000 units under management.
CHICAGO — Standard Communities led a public-private partnership that acquired Bryn Mawr Belle Shore Apartments in Chicago’s Edgewater Beach neighborhood. The total capitalization of the acquisition was roughly $46 million. The affordable housing community includes 371 units across two buildings as well as 15,000 square feet of retail space. Standard plans to make improvements such as new common area lighting, refurbished common areas and amenities, and renovated management offices. Standard completed the transaction in partnership with the Illinois Housing Development Authority, Chicago Housing Authority, the City of Chicago Department of Housing and the U.S. Department of Housing and Urban Development.
IRVING, TEXAS — Hunt Capital Partners has provided $12.9 million in Low-Income Housing Tax Credit (LIHTC) equity for The Heights at MacArthur, a 76-unit affordable housing project in Irving. The property will offer one-, two- and three-bedroom units that will be reserved for renters earning between 30 and 60 percent of the area median income. Amenities will include a pool, fitness center, business center and a community room. The borrower is a partnership between Hill Tide Ventures and Generation Housing Partners. Total project costs are $21.3 million..
WASHINGTON, D.C. — Greysteel has brokered the sale of a six-property multifamily portfolio in Northwest Washington, D.C., totaling 362 apartments. The six properties in the portfolio include Barclay, Ravenel, Park Meridian, Park Marconi, Richman Towers and Sarbin Towers. Van Metre Cos. and institutional investors advised by J.P. Morgan Asset Management sold the portfolio to four different buyers for approximately $76.7 million, three of which were sold to local nonprofit affordable housing provider Jubilee Housing. Kyle Tangney and Herbert Schwat of Greysteel represented the sellers in the transaction. Four of the assets will be preserved as affordable housing. All six properties were sold via an assignment of their respective tenant associations to third-party developers pursuant to D.C.’s Tenant Opportunity to Purchase Act (TOPA).
FREDERICKSBURG, VA. — Northmarq has arranged the $34.3 million sale of Timber Ridge Townhomes, a 147-unit affordable housing community located at 3500 Goldenfield Lane in Fredericksburg, a town equidistant between Richmond and Washington, D.C. Northmarq’s Richmond investment sales team of Wink Ewing, Mike Marshall and Matt Straughan represented the seller, CAPREIT, in the transaction. The firm’s Richmond debt placement team of Keith Wells, Reina Abboud and Hunter Wood originated an undisclosed amount of acquisition financing for the buyer, Linden Property Group, through an unnamed regional bank. Built in 1999, Timber Ridge is a LIHTC community that comprises 21 apartment buildings. The property had a waiting list at the time of sale, and the Virginia Housing Development Authority recently raised rent caps at the property by 12 percent, according to Northmarq. Community amenities include onsite property management, a pet play area, business center, fitness center and a pool, with Wi-Fi access available at the clubhouse and pool areas.
NEW YORK CITY — Ariel Property Advisors has brokered the $107.5 million sale of a portfolio of four affordable housing properties totaling 477 units in The Bronx. The sale, which also included a 525,000-square-foot development site, involved properties in the Morrisania, High Bridge and Belmont neighborhoods. Victor Sozio, Shimon Shkury, Jason Gold, Daniel Mahfar and Evan Hirsch of Ariel Property Advisors represented the undisclosed seller in the transaction. The buyer was a joint venture between Systima Capital Management, Gilbane Development Co., ELH Management LLC and TerreAlto.
MADISON, WIS. — Associated Bank has structured $14.1 million in construction financing for The Shield Apartments, a 44-unit affordable housing development in Madison. The financing includes a $6.9 million construction loan and $7.2 million in Low-Income Housing Tax Credit equity. The Salvation Army is the developer. The project will include 16 studio and 28 one-bedroom units for residents earning 30 to 60 percent of the area median income. Twenty-two of the units will be set aside for survivors of domestic violence and 11 will be designated for persons prone to homelessness. Amenities will include an onsite leasing office, community room and offices for supportive services. The project is part of the Salvation Army’s goal of transforming its existing Madison building from a standalone shelter for women and families into a multi-building campus that offers affordable housing and community support services. Teresa Rubio and Stefanie Bachrach of Associated Community Development LLC managed the loan and equity closings.
It’s been quite the run for Seattle. Like many secondary markets out West, the Emerald City was a pandemic darling, racking up loads of new residents and workers over the past few years. Seattle-area employers added more than 102,600 workers in 2021 alone, according to Marcus & Millichap’s second-quarter market report, which predicts the area will add another 85,000 workers by year’s end. The report also forecasts Seattle’s population will increase by more than 220,000 residents over the next five years. All this activity has led to a bull run for multifamily owners, investors and developers. Net absorption in Seattle’s central business district surpassed the 5,000-unit mark for the first time on record last year, while rents have risen by 14 percent year over year. Demand was so fierce that all 20 of the metro’s submarkets recorded vacancy compression over the past four quarters, resulting in an average 2.8 percent vacancy rate, according to Marcus & Millichap. This is the lowest rate in two decades. Nearly 9,000 units — representing 1.9 percent of the supply — were added over the 12-month period that ended in March, with another 25,000 units still under construction at the end of the second quarter. …
CHICAGO — A partnership between L+M Development Partners and SAA|EVI has acquired Concordia Place Apartments in Chicago. The purchase price was undisclosed, but the partnership secured $99.7 million in funding for the acquisition and rehabilitation of the property. Located at 13037 S. Daniel Drive, the property consists of 297 affordable housing units across 29 buildings. Originally built in 1969, Concordia is federally subsidized by a HUD Section 8 Housing Assistance Payments (HAP) contract. The buyer’s renovation plans include upgraded kitchens and bathrooms, new flooring, Energy Star lighting fixtures, new paint, drywall repairs, new windows and boilers, a renovated community room and the addition of a computer lab and exercise room. The project is being financed via tax-exempt bonds issued by the Illinois Housing Development Authority, 4 percent Low-Income Housing Tax Credits syndicated by Raymond James, a Freddie Mac tax-exempt loan provided by Capital One, and a tax-exempt bridge loan provided by Fifth Third Bank.
MADISON, WIS. — NewPoint Real Estate Capital has provided a $12 million loan for the construction of The Flats at 402, a 54-unit affordable housing community in Madison. All the property’s units will be restricted to residents who earn 50 to 60 percent of the area median income. The limestone exterior of an existing two-story commercial property will be repurposed for the construction of the project. An existing parking lot will be demolished and replaced with an underground parking garage. Cesar Diaz of NewPoint originated the loan on behalf of the borrower, Kenosha, Wis.-based Bear Real Estate Group. The Housing Authority of Dane County issued bonds, and National Equity Fund was the Low-Income Housing Tax Credit equity syndicator.