FRANKLIN, IND. — RESOURCE Commercial Real Estate has arranged the sale of a 48-unit multifamily community in Franklin, approximately 25 miles south of Indianapolis, for an undisclosed price. Parkside Apartments was built in 1962 and offers a mix of one- and two-bedroom units with an average size of 733 square feet. Parkside Properties LLC sold the complex to Parkside Franklin Apartments LLC. Michael Wernke of RESOURCE Commercial Real Estate brokered the transaction.
NEW YORK CITY — Alpha Realty has arranged the sale of an apartment building located at 82 Christopher St. in Manhattan’s West Village. The asset sold for $9.9 million, or more than $1,500 per square foot. Glenn Raff of Alpha Realty represented the undisclosed buyer, while Scott Schwartz, also of Alpha Realty, represented the overseas seller in the transaction.
NEW YORK CITY — Eastern Union Funding has secured a $5.1 million loan on behalf of a Brooklyn-based investor for the acquisition of a mixed-use property located at 900 Grand St. in Brooklyn’s East Williamsburg neighborhood. The 22,600-square-foot property features two ground-floor commercial/retail spaces totaling 15,000 square feet, and residential lofts on the second floor. As a former industrial property, the building also features 12-foot to 17-foot ceiling heights, five drive-ins, two elevators and 8,000 buildable square feet. Alex Freund of Eastern Union Funding arranged the nine-year, fixed-rate loan through Suffolk County Bank.
MURFREESBORO, TENN. — National Health Investors Inc. (NYSE: NHI), a publicly traded seniors housing and healthcare REIT based in Murfreesboro, has purchased 12 skilled nursing facilities in Texas from operator Legend Healthcare for a total of $174.5 million. The sales were structured as two separate transactions. In the first, NHI bought eight of Legend’s existing Texas facilities totaling 931 beds for $118.5 million. In the second transaction, NHI purchased four more facilities from Legend that are in various stages of development for $56 million. The first of those facilities is expected to open in 2017. Legend is seeking to step away as operator of all the facilities, so NHI will lease all 12 newly purchased facilities, as well as seven others previously operated by Legend, to affiliates of The Ensign Group (NASDAQ: ENSG). The 15-year lease for the 15 currently operating facilities will have an initial annual amount of $17.8 million plus an annual, inflation-based escalator. The lease has two five-year renewal options. Upon entering the new lease on May 1, Ensign will also purchase two skilled nursing facilities in Texas from NHI. Ensign will pay $24.6 million for the 245-bed portfolio.
TEXAS — KeyBank Real Estate Capital provided $202.1 million in Freddie Mac financing to a joint venture between Kayne Anderson Real Estate Advisors and Discovery Senior Living for their Conservatory Senior Living portfolio, a five-property independent living portfolio located in Texas. Totaling 1,053 units, the Class A seniors housing communities were all built between 2005-2007 and house between 188-237 units each. Charlie Shoop and Carolyn Nazdin of Key’s Healthcare Mortgage Group worked in conjunction with Paul DiVito of Key’s Healthcare Real Estate Group to arrange the non-recourse, 10-year, adjustable rate financing, which was used to refinance an existing loan.
AUSTIN, TEXAS — ARA Newmark has negotiated the sale of two Austin properties: The Park at Stone Creek, a 420-unit community located in northeast Austin; and Mission Hills, a 344-unit, Class A apartment community. The Park at Stone Creek and Mission Hills are both less than 10 miles from Austin’s central business district. ARA Newmark’s Pat Jones worked with Bridgeview Real Estate to facilitate the sale of The Park at Stone Creek with an affiliate of the Turner Multifamily Impact Fund. The Class B community spans 18 acres. Built in the early 1980s, the property offers seven floor plans averaging 750 square feet. Amenities include a fitness center, onsite jogging trail, playground/picnic area, disc golf course, bark park, lighted sport court and two swimming pools. Pat Jones and Andrew Shih of ARA Newmark represented the sellers, AMH I Associates Ltd. and Austin Mission Hills Associates II Ltd., in the transaction for Mission Hills. F&B Capital purchased the property, which was 95 percent occupied at the time of the sale. Mission Hills is a three-story property that was built over two phases in 1999 and 2001. It includes five floor plans with an average unit size of 831 square feet and …
COVINA, CALIF. — A limited liability company has purchased The Bahamas, a 40-unit apartment property in Covina, for $7 million. The two-building community is located at 514 E. Cypress St. and 826 North Barranca Ave. The buildings were constructed in 1961 and 1963. Mark Sanfilippo and Reza Ghaffari of Marcus & Millichap represented the buyer. Sanfilippo also represented the seller, a private investor, in this transaction.
EUGENE, ORE. — Stephen Whitehead of NorthMarq Capital has arranged a $9.8 million refinancing of K14 Campus Flats, a 145-bed student housing property located near the University of Oregon. The development is located at 1414 Kincaid St. in Eugene. The transaction was structured with a 10-year term with two years interest-only payments, followed by a 30-year amortization schedule. NorthMarq arranged financing for the borrower through its Fannie Mae DUS program.
The commercial real estate market in West Michigan was quite active in 2015 across all property sectors, including one massive data center deal that is expected to spur billions of dollars in investment. Both new development and transactions involving existing facilities drove deal volume in 2015. Consequently, vacancy rates dropped while leasing rates generally rose. We expect a high level of commercial real estate activity this year as well. A lack of inventory for existing product will continue to drive new development in 2016. Industrial Strength The industrial market, in particular, has experienced a shortage of quality product to satisfy the demands of distribution companies from across the area. The greater Grand Rapids industrial market consists of approximately 115 million square feet. At the end of 2015, the vacancy rate was 4.1 percent. This marks a significant improvement compared with the depths of the Great Recession when the vacancy rate approached 10 percent. For the first time in years, we are seeing speculative development across all sizes of industrial properties. Lease rates for these speculative buildings are significantly higher than what we have experienced in the recent past due to the relatively high cost of construction. The good news for …
COLLEGE STATION, TEXAS — Haven Campus Communities has acquired The Tradition at Northgate, a 795-bed student housing community located across the street from the Texas A&M campus in College Station. ARA Newmark’s Student Housing Group, led by Ryan Lang, brokered the transaction. Haven plans to implement a renovation project that will be delivered in time for the fall 2017 semester. Renovated units will be furnished with fully equipped kitchens, large flat screen televisions, washers and dryers and trundle beds with pillow top mattresses. The apartments will also feature upgraded private bedrooms and bathrooms with bed to bath parity. Community amenities will include a large central courtyard with an indoor/outdoor lounge leading out to a resort-style pool, covered grills, hammocks and fire pits and a 24-hour fitness center. The clubhouse will feature a cyber-lounge with charging stations, a study room with smart TVs, a coffee bar, pool tables and shuffleboard. The property will also feature a new 1,360-square-foot computer lab when renovations are complete.