NEW YORK CITY — Marcus & Millichap Capital Corp. (MMCC) has arranged a $34.4 million bridge loan for the refinancing of a 117-unit apartment building in the Williamsburg neighborhood of Brooklyn. The property, which includes 4,000 square feet of commercial space, was originally built as a pencil factory and was converted to multifamily in 2012. A private lender provided the five-year loan, which was structured with a 3.65 percent interest rate, three years of interest-only payments and a 75 percent loan-to-value ratio. Steven Rock of MMCC originated the debt. The borrower was not disclosed.
ROCKVILLE, MD. — An affiliate of The Milestone Group has purchased The Villages at Decoverly, a 564-unit garden-style apartment community located in Rockville. Decoverly is located at 9901 Gable Ridge Terrace, approximately 24 miles from Washington, D.C. Decoverly was developed in stages in 1991 and 2006. The community features a variety of one-, two- and three-bedroom floor plans and common area amenities including two pools, two fitness centers, tennis courts, an outdoor grilling and entertainment area and a children’s play area. Steve Collins, Water Coker, and Brian Crivella and Robert Jenkins of JLL Capital Markets represented the seller, an undisclosed foreign investor, in the transaction. The sales price was not disclosed.
AURORA, ILL. — JVM Realty Corp. has sold The Aventine at Oakhurst North in Aurora for an undisclosed price. The 464-unit apartment community was built in 1999. The property recently received a big facelift, including an update to the clubhouse and amenity spaces, repairs to major building systems and a full renovation of approximately 40 percent of the unit interiors. The property’s 29 buildings sit on 28.5 acres. Dan Cohen, John Jaeger, Justin Puppi and Nisha Mishra of CBRE’s Chicago multifamily team represented JVM in the sale. Hayman Co. was the buyer.
FORT WORTH, TEXAS — Marcus & Millichap has negotiated the sale of The Falls and Oak Village, two adjacent apartment complexes that are situated on a combined 22 acres in Fort Worth. The Falls was built in 1976 and totals 256 units, while Oak Village was constructed in 1980 and comprises 152 units. Amenities include two pools, soccer fields, playgrounds, dog parks, grilling areas, and onsite laundry facilities. Al Silva of Marcus & Millichap represented the seller, Florida-based GreenWater Investments, and procured the buyer, an out-of-state investment group.
DALLAS — New York-based EB Real Estate Group has acquired Plum Meadow, a 270-unit apartment community in South Dallas. The property features one- and two-bedroom units and amenities such as a pool, courtyard and onsite laundry facilities. Thomas Burns, Jay Gunn and William Jarnagin of Berkadia represented the seller, an affiliate of New York-based Iliad Realty Group, in the deal. Josh Finley of Berkadia originated an undisclosed amount of Freddie Mac acquisition financing on behalf of EB Real Estate Group.
NEW YORK CITY — Mortgage banking company Merchants Capital has arranged a $51 million construction loan and $28.4 million in Freddie Mac Low-Income Housing Tax Credits (LIHTC) to fund the redevelopment of Manhattan’s historic Park 79 hotel into an affordable housing property for seniors. The borrower and project developer, Fairstead, will oversee renovations that will reconfigure the seven-story building into 77 apartments along with multiple community spaces, including an indoor/outdoor community room, dining room and meeting rooms. Additional rehabilitation will be done throughout the building, including creation of a common dining and recreation room, social services offices and an outdoor garden area. Upon completion, the property will employ two full-time social service coordinators to work alongside residents in organizing community programming events. The hotel originally opened in 1899 as “The Indiana.” The redevelopment is expected to be complete in 2022.
EAST HARTFORD, CONN. — Connecticut-based Goman + York has brokered the sale of a 57,000-square-foot property formerly known as William Seely School that is located near the junction of I-95 and State Routes 12 and 184 in East Hartford. The new owner, Connecticut-based DonMar Development, plans to redevelop the 14-acre property into a 280-unit apartment community. Goman + York represented the seller, the Town of Groton, in the transaction. A construction timeline for the redevelopment was not disclosed.
LOS ANGELES — Waterton has purchased OLiVE DTLA, a seven-story mid-rise multifamily community located at 1243 S. Olive St. in downtown Los Angeles. Blake Rogers, Alexandra Caniglia, Hunter Combs, Javier Rivera and Kevin Sheehan of Walker & Dunlop represented the undisclosed seller in the deal. Justin Nelson and Allan Edelson, also of Walker & Dunlop, arranged acquisition financing for Waterton. Built in 2017, OLiVE DTLA features 293 apartments in a mix of studio, one- and two-bedroom floor plans. Units offer stainless steel appliances, subway tile backsplashes, European-style cabinets, quartz countertops, double pane floor-to-ceiling windows and wood-plank flooring. Additionally, select units feature balconies. Community amenities include a lobby, lounge, rooftop courtyard, resort-style pool area with sundeck, fire pit, grilling stations, business center, fitness center, on-site pet park and underground, controlled-access parking. The property also features 14,500 square feet of street-level retail space, 2,400 square feet of which Waterton plans to convert into 110 residential storage units. The company also plans to improve in-tenant technology access.
PHOENIX — Next Wave Investors has acquired The Grove on Glendale, a for-rent townhome community located in North Central Phoenix, for $25.5 million. Located at 917 W. Glendale Ave., the 56-unit property consists of two-story townhomes offering a mix of three-bedroom/two-and-a-half-bathroom and four-bedroom/three-and-a-half-bathroom layouts, averaging 1,840 square feet. Each residence includes walk-in closets, large bedrooms, in-unit washers/dryers, a two-car private garage and fenced-in backyard. Community amenities include a swimming pool. Alon Shnitzer, John Kobierowski, Rue Bax, Doug Lazovick and Eddie Chang of ABI Multifamily represented the buyer and seller, an Arizona-based private investment developer, in the deal.
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US Commercial, Multifamily Construction Starts Down 20 Percent in 2020, Says Dodge Data
HAMILTON, N.J. —The value of commercial and multifamily construction starts in 2020 tumbled 20 percent to end the year at $193.4 billion, according to Dodge Data & Analytics. Within the top 20 metropolitan areas that the Hamilton-based research firm tracks, the fall was more severe as that group’s starts fell by 23 percent in value, or $111.1 billion. Overall, commercial real estate starts fell 26 percent in value to $104 billion, while multifamily building activity slid by 11 percent to $89.5 billion. Richard Branch, chief economist for Dodge Data, says that the COVID-19 pandemic had a significant negative impact on commercial and multifamily construction across the country with only a few markets seeing year-over-year increases in construction starts compared to 2019. “The construction sector will show signs of recovery in 2021, but, the road back to full recovery will be long and difficult. The effects of the pandemic on the U.S. economy and building markets will be felt for several years,” says Branch. “While some areas stabilized over the summer, the current wave of the virus has further hindered activity.” Only one metro area in Dodge Data’s top 10, Phoenix, reported a year-over increase in construction starts. The No. 7 …