The Mogharebi Group (TMG) has advised a Colorado-based private investment group on its sale of Fireside Village, a 180-unit multifamily community in Omaha, NE to ARTISAN Capital Group.
The multifamily transaction, one of the largest by unit count to close in metropolitan Omaha this year, according to CoStar data, represents the seller’s exit and the buyer’s entry into the Nebraska market, according to Mogharebi Vice President Scott Koethe.
“Omaha benefits from wonderful fundamentals – great schools, strong local economy and safe neighborhoods, which has resulted in a buyer pool that is large and growing,” said Koethe, an Omaha native. “Wanting to divest itself of its multifamily holdings to concentrate on medical office, our client engaged us to leverage our significant relationships with these buyers to sell the property. As a result, we were able to generate 18 offers and ultimately went with the most qualified buyer in ARTISAN Capital Group.”
Fireside Village is the first acquisition in Nebraska for Chicago & Des Moines-based ARTISAN Capital Group, whose portfolio includes more than 6,500 multifamily and student housing units throughout the Midwest and Nevada. In partnership with Guardian Capital, the transaction, which needed to close before the July 4th holiday, was the upleg of a 1031 Exchange that included the assumption of an attractive sub-5% Agency loan with five years remaining on the term, according to Koethe.
“This was a very complex transaction with a lot of moving parts and a very tight deadline,” Koethe said. “Our proprietary 1031 Exchange platform combined with our experience with the complicated loan assumption process, allowed us to close on time and help both parties meet their business objectives.”
“ARTISAN is thrilled to enter the Omaha market with the acquisition of Fireside Village, soon to be rebranded as Wildewood Commons. We have been blown away by the warm reception from the City of Ralston and look forward to contributing to the local community in a positive manner,” added Ryan R. Cahalan, “The ARTISAN Team is eager to get to work on making renovations to the property and we look forward to growing a portfolio of apartment communities throughout the Omaha metro.”
Located at 8214 Wilson Dr., in Ralston, a popular suburb less than a 15-minute drive from Downtown Omaha, Fireside Village offers a diverse mix of floor plans ranging from studio to two-bedroom apartment homes housed in 11 residential buildings on a 5.5-acre site. Community amenities include a sauna, fitness center, playground, dog park, business center, detached garages, & laundry facilities. The property was 75% occupied at closing.
Built in 1972, only one-third of the units have been renovated providing the buyer with a tremendous value add opportunity, according to Koethe.