Berkadia today announced that it has secured a capital partner for The Michaels Organization’s new luxury living rental apartment community in Austin, Texas. The $59 million multifamily development, called Zoey, marks Michaels’ first entrance into the Austin market.
Berkadia’s Joint Venture Equity and Structured Capital Group, led by Chinmay Bhatt, Noam Franklin and Cody Kirkpatrick, identified and then helped structure the deal between the capital partner and the developer.
“We were excited to help a long-time Berkadia client, The Michaels Organization, in finding them the right capital partner for an exciting project in the one of the most vibrant markets in the country,” said Kirkpatrick.
Located at 5700 East Riverside Drive, the upscale Zoey will offer convenient living right near the Colorado River waterfront, near employment, entertainment, and recreational centers, and within close proximity to major highways and public transportation.
When complete in late summer 2021, Zoey will offer 307 apartment homes in a mid-rise building featuring both five and six stories. Amenities include structured parking, fitness areas, co-working spaces, and lounges. Outdoor amenities will include a pool, bike storage, and a dog wash station, along with green spaces.
“Michaels has always loved the culture and energy of Austin and we are thrilled to become part of the community,” said Steve Hillebrand, Managing Vice President of Development at The Michaels Organization. “Our team is looking forward to delivering an exceptional high-quality, value-focused asset to Austin that reflects our mission to lift lives wherever we build and manage.”
Although this is Michaels’ first entry into the Austin market, the organization is not new to the state, having long owned and managed affordable living communities in both Houston and Midland, Texas. Later this summer, Michaels will open Mission Trail at El Camino Real, a new mixed-income housing community in nearby San Marcos, Texas, that will serve the city’s growing workforce.
Apartments at Zoey will be offered in a variety of floorplans, ranging in size from studios to three-bedrooms. All will feature modern designs with plank flooring, granite countertops, and spacious closets. Of the 307 apartments, 38 of the studios will be designated as affordable.
MSC Architects, LLC. of Dallas, Texas is serving as the master architect and Michaels Construction is the general contractor. Michaels will also provide property management services, ensuring Zoey remains a community asset for the long term.
