CHICAGO, IL – June 4, 2019 – Holliday Fenoglio Fowler, L.P. (HFF) announces it has closed the sale of and arranged financing totaling $51.135 million for a three-property, 335-unit apartment portfolio in downtown Kansas City, Missouri.
HFF marketed the property on behalf of the seller, Steadfast Income REIT, Inc., and procured the buyer, ARTISAN Capital Group. Additionally, HFF worked on the new owner’s behalf to secure a $38.85 million, seven-year, fixed-rate Fannie Mae loan through HFF’s risk-transfer joint venture with M&T Realty Capital Corporation, as well as $12.285 million in joint venture equity from Westminster Capital LLC. In addition to funding the acquisition, proceeds from the financing will be used to implement the new owner’s value-add strategy by improving operations and management.
The properties in the portfolio are Library Lofts, a 118-unit building located at 1004 Baltimore Avenue; Stuart Hall, a 115-unit building located at 2121 Central Street; and EBT Lofts, a 102-unit building located at 1601 Walnut Street. The historic buildings, which were originally built between 1899 and 1910, are situated within two of Kansas City’s most in-demand downtown locations, the Library District (Library Lofts) and the Crossroads Arts District (Stuart Hall and EBT Lofts), providing residents with convenient access to major area transportation arteries and some of the city’s trendiest of retail, dining and entertainment amenities. The adaptive re-use properties comprise a mix of loft-style units ranging from studio to three-bedroom floor plans totaling 333,180 rentable square feet. In addition, the buildings include 21,130 square feet of ground-floor commercial space. The portfolio is 94 percent occupied overall.
The HFF investment advisory team representing the seller was led by senior director David Gaines, managing director Marty O’Connell and senior managing director Danny Kaufman.
HFF’s debt placement team representing the new owner was led by managing director Matthew Schoenfeldt and director Gregory Napper.
