HOUSTON — Caydon, an Australian development firm, has opened Drewery Place, a $200 million multifamily community in Houston. The property features 357 units in micro, studio, junior, one-bedroom and two-bedroom formats. Amenities include a pool, fitness center, dog park, conference room and whiskey bar. Drewery Place represents the first phase of Laneways, Caydon’s mixed-use development that is inspired by the streets of Melbourne.
AUSTIN, TEXAS — Miami-based One Real Estate Investment has purchased Mira Vista Apartments, a 200-unit multifamily community in Austin’s Windsor Hills neighborhood. The community was built in 1983 and was 97 percent occupied at the time of sale. Mira Vista is a garden-style community composed of 32 one-bedroom units and 168 two-bedroom units ranging from 650 square feet to 960 square feet. Amenities include a pool, clubhouse, community grill area, courtyard, playground, sauna, pool with sundeck and a resident business center with internet access. Brad Williamson of Berkadia secured a $15.1 million fixed-rate acquisition loan that carries a 3.24 percent interest rate and five years of interest-only payments for the deal. Noam Franklin, Chinmay Bhatt and Cody Kirkpatrick of Berkadia delivered a publicly traded REIT as an equity partner for One Real Estate.
AUSTIN, TEXAS — Locally based investment firm Rastegar Property has acquired a 36-unit multifamily community located at 902 Romeria Drive in the Brentwood area of Austin. Units at the property average 490 square feet. Rastegar plans to fully renovate the property with new flooring, tile, cabinets, countertops, stainless steel appliances, interior and exterior paint, windows, siding, roofs, landscaping and covered parking.
NEW YORK CITY — JLL has secured two Fannie Mae loans totaling $119 million to finance two apartment properties in Manhattan. On the Upper West Side, 33 West End Apartments offers 211 units in studio, one- and two-bedroom floor plans along with 7,191 square feet of ground-floor retail space. In Chelsea, Port 10 Apartments features 89 units in studio, one-, two- and three-bedroom floor plans. The loan for 33 West End Apartments totaled $80 million and the loan for Port 10 Apartments totaled $39 million. C.W. Early of JLL arranged the fixed-rate, long-term loans for the borrower and original developer of the properties, Atlantic Development Group.
STAMFORD, CONN. — CBRE has arranged the $12.4 million sale of a 10-acre parcel in Stamford, a northeastern suburb of New York City. The parcel currently houses a vacant 196,000-square-foot office building. The buyer, a partnership between National Development and Epoch Senior Living, plans to redevelop the property into a 150-unit independent and assisted living senior housing community called Waterstone on High Ridge. National Development intends to raze 110,000 square feet of the existing building as part of the redevelopment project. Jeffrey Dunne, Steven Bardsley, Gene Pride, Jeremy Neuer and David Gavin of CBRE represented the Seller, Steven Wise Associates LLC.
GLASTONBURY, CONN. — Northeast Private Client Group (NPCG) has brokered the $11.4 million sale of Addison Mill Lofts, a multifamily property in Glastonbury, a southeastern suburb of Hartford. The property formerly served as a historic mill and was converted into a multifamily building with 55 apartments in studio, one- and two-bedroom floor plans. Brad Balletto, Rich Edwards and Jeff Wright of NPCG represented the seller, Addison Mill LLC, in the transaction. The team also procured the buyer, a private investor based in New York.
FREDERICK, MD. — Greysteel has arranged the $15.2 million sale of VistaView Apartments, a 70-unit apartment complex in Frederick. Ausherman Development Corp. sold the property to an undisclosed buyer at $214,285 per unit. VistaView comprises four five-story buildings and offers two-bedroom floor plans averaging 1,336 square feet. Communal amenities include a BBQ area, and access to three swimming pools, two basketball courts and three parks. The asset was delivered in 2014.
MINNEAPOLIS — Dougherty Funding LLC has arranged $188.5 million in construction financing for Eleven, a luxury condominium project in Minneapolis. At 550 feet and 41 stories, Eleven will be the tallest residential building in Minneapolis. It is also the first residential project in the city to be designed by New York City-based Robert A.M. Stern Architects. Amenities will include a landscaped terrace, lap pool, fitness suite, yoga studio, library, demonstration kitchen and golf simulator. Bank OZK served as the senior lender and Related Fund Management as the mezzanine lender. Arcadia LLC and Ryan Cos. are co-developers, with Ryan serving as the builder. Other project team members include Peterssen/Keller Architects, Martha Dayton Design and Lakes Sotheby’s International Realty. A timeline for completion was not disclosed.
As brokers, we are often asked our opinion on the local market. The topic seems to have garnered even more interest than normal as of late. There is a multitude of variables investors will point to as they attempt to define what is happening in the market. The new legislation coming down the pipeline has probably caused the biggest challenges to the local multifamily market. Nationally, there are a lot of people worried about a recession because of the inverted yield curve. However, a recession hasn’t occurred every time the curve has inverted. There is no crystal ball to look at and make our investment decisions, but I think the outlook for Portland is still rosy. What appears to be happening is we are going from a rising market to a more normalizing market. In a rising market, prices increase, buyer demand increases, velocity increases, yield spread narrows and inventory moves fast as investors speculate on the market. In a normalizing market, prices become more realistic for in-place yield, there are fewer buyers in the market, velocity drops and the buyer/seller gap widens, which causes assets to sit or not sell. This seems to be the case here in Portland …
BOSTON — Gables Residential and Drew Co. are nearing completion of Gables Seaport, a 307-unit apartment building in the Boston’s Seaport District. The 23-story building will offer studio, one- and two-bedroom units, as well as an outdoor terrace, lounge and pool. CBT Architects designed the building, and Halvorson Design served as the architect for the roof deck and amenity spaces. The property is slated to open in March 2020.
