HOUSTON (Sept. 11, 2018) – Berkadia has arranged the sale and financing for Alexan Auburn Lakes, a 346-unit multifamily community located only a short distance from the prestigious Woodlands community. Senior Managing Director Ryan Epstein, Director Jennifer Ray, Associate Director Wes Breeding, and Associate Scott Bray of Berkadia’s Houston office represented the seller, Trammell Crow Residential and Prime Property Investors. Senior Managing Director Tucker Knight and Director Nick Murphy of Berkadia’s Houston office secured the financing on behalf of the buyer, Olympus Property, a Fort Worth based full service multifamily investment and property management organization with 17,000 units across 10 states.

“With continued interest from a variety of investors, Houston’s multifamily market remains competitive, even for newly built properties such as this one,” said Ryan Epstein. “Solid fundamentals that are consolidated within the Spring area of Houston made this property especially attractive, and consistent growth in the surrounding area will also enhance the standard of living for residents of this community.”

Built in 2015, Alexan Auburn Lakes is located at 6000 West Rayford Road. One-, two-, and three-bedroom units offer wood vinyl floors, granite countertops, stainless steel appliances , USB ports, keyless entry system, island kitchens and built-in Blue-Tooth speaker systems. Community amenities include two tropical pools with courtyards, bark park and groom room, and reflection lake and running trail.

Situated a short distance from The Woodlands, the community is ideally located near 21 million square feet of office, research, institutional and industrial space. High-paying centers of employment include Chevron Phillips Chemical, Maersk Line, Halliburton, CHI St. Luke’s Health and Texas Children’s Hospital. Additionally, the fast-growing Springwoods Village is less than four miles southeast, which is home to HP’s new campus and the new Exxon Mobil campus. 

Berkadia announced today it has arranged a $19.43 million loan for the acquisition of Buena Vista (formerly known as Moncler Buena Vista), a 240-unit garden-style apartment community in the Wellswood neighborhood of Tampa, Florida. Senior Managing Director Charles Foschini, Managing Director Christopher Apone and Senior Analyst Lourdes Carranza-Alvarez of Berkadia’s South Florida office secured the loan on behalf of Westside Capital Group (“Westside”), a real estate investment holding firm based in Miami, which acquired the property for $21.25 million.

A commercial real estate lending subsidiary of a fintech bank provided the five-year, $19.43 million floating rate loan, at an 80 percent loan-to cost which is divided into an acquisition facility and a CapEx investment facility to upgrade the property.

“We are constantly sourcing innovative capital solutions for our clients,” explained Foschini. “This lender provided extremely attractive non-recourse terms that allowed for both the purchase and complete renovation of the property.”

He added, “The principals at Westside Capital Group have a keen eye for value-add real estate opportunities. We’ve been fortunate to work with the firm on all of its domestic acquisitions since its entry into the market approximately one year ago.”

 “We’re excited to announce yet another addition to our multi-family program,” said Jakub Hejl, Westside’s Founding Partner. “Similar to our other multi-family acquisitions, this is a great value-add asset in a strong location with a diverse set of economic drivers and a high barrier to entry market. Westside will continue to leverage its local market expertise and deep industry relationships to identify attractive multifamily investments throughout Florida and throughout the U.S.”

Built in 1985, Buena Vista comprises 10 garden-style buildings on a five-acre site, each containing 24 units. The unit mix offers efficient studio, one-bedroom and two-bedroom floorplans, averaging 700 square feet. The property also features a clubhouse, covered parking, fitness center, swimming pool and other tenant amenities. Westside aims to update common areas and perform targeted interior unit upgrades.  The property is conveniently located close to Al Lopez Park, St. Joseph’s Children’s Hospital and Raymond James Stadium home to the Tampa Bay Buccaneers of the National Football League (NFL).

MIAMI – Berkadia arranged a $44.32 million loan for the acquisition of Vista Verde at Westchester, a 302-unit garden-style multifamily community located in the Westchester area of Miami, Florida. Managing Director Charles Foschini, Director Christopher Apone and Senior Analyst Senior Analyst Lourdes Carranza-Alvarez of Berkadia’s South Florida office secured the loan through Freddie Mac on behalf of Advenir.

The 11-year, fixed-rate loan features six years interest only.

"This asset is a quintessential Advenir deal," commented Foschini. "Exceptional location, great demographics and a fundamentally strong asset that needed a modernization to reflect the demands of today’s tenants. Though just over 80percent

 occupied at close, we were able to get the exemptions necessary to close a 10-year fixed rate loan at very favorable terms with Freddie Mac." 

Located at 10491 SW 14th Terrace, Vista Verde was built in 1993 and is located within a five-minute walk of Florida International University, one of the largest universities in the United States with over 55,000 students. The property comprises 10 two- and three-story buildings, with an average apartment size of 751 square feet. More than half of the units in the property have undergone partial or full renovations since 2013. Community amenities include a pool and sundeck with Wi-Fi connectivity, a fitness center, tot lot, barbecue grill and picnic area, and gated entry with security. The property is conveniently located closed to Miami International Airport, the Florida Turnpike and Dolphin Expressway, and a plethora of Miami's largest employers.

Occupancy at the time of sale was 88 percent, with average rents of $1666 per month.

JACKSONVILLE, FL – Berkadia has arranged acquisition financing for Portiva, a newly constructed, Class A apartment community with 260 units located in Jacksonville, Florida. Senior Managing Director Mitch Sinberg, Associate Director Matt Robbins and Senior Analyst Wesley Moczul of Berkadia’s South Florida office secured the loan on behalf of the buyer, Myers Apartment Group, which purchased the property prior to stabilization.

Berkadia originated the mortgage using Fannie Mae’s “Near Stabilization Execution,” which provides financing for newly constructed or recently renovated multifamily apartment communities in lease-up that are expected to achieve stabilized occupancy within 120 days of closing. The 12-year, fixed-rate loan has a competitive interest rate along with a significant interest only component.

“Portiva received its final certificate of occupancy in March of this year and has demonstrated great leasing velocity, attesting to the strong demand for well-located, high-quality product in this market,” explained Sinberg. “The buyer was able to acquire the property at a below-market price, and we helped them achieve the goal of closing before full stabilization, with little risk, by using Fannie Mae’s ‘Near Stabilization’ program. We anticipate the property will be at full stabilization in the next 30 to 60 days.”

According to Berkadia’s Q2 2018 Jacksonville Multifamily Report, apartment occupancy in Jacksonville is 94.5 percent – above the five-year average of 94.2 percent – and average asking rent has advanced 3.9 percent to $1,030 per month.  Renters were drawn to new supply during the last year, with 1,899 newly leased units in the last four quarters. Absorption was highest in the submarkets of Southside/Bay Meadows and Southeast Jacksonville. Underpinning healthy rental demand was brisk job growth and the median existing single-family home price reaching a historic high of $254,800, up 13.5% year over year.

Located at 6898 Skinner Parkway, Portiva is a mid-rise apartment community built in 2018 that is conveniently located close to I-95 and the Jacksonville beaches. Major shopping and dining destinations, including St. Johns Town Center, are located only 10 minutes away. The pet-friendly community offers one-, two-  and three-bedroom homes with wood-style flooring, French Door refrigerators, premium stainless steel appliances, granite countertops, and a washer and dryer in each unit. Amenities include a salt water pool, pet park and spa, bocce ball court, yoga/cross-training center, five outdoor fire pits and a fireplace, bike storage and repair station, and car wash station.

About Berkadia: Berkadia, a joint venture of Berkshire Hathaway and Leucadia National Corporation, is a leader in the commercial real estate industry, offering a robust suite of services to our multifamily and commercial property clients. Through our integrated mortgage banking, investment sales and servicing platform, Berkadia delivers comprehensive real estate solutions for the entire life cycle of our clients’ assets. To learn more about Berkadia, please visit www.berkadia.com

Jacksonville, Fla. – Berkadia has arranged acquisition financing for Portiva, a newly constructed, Class A apartment community with 260 units located in Jacksonville, Florida. Senior Managing Director Mitch Sinberg, Associate Director Matt Robbins and Senior Analyst Wesley Moczul of Berkadia’s South Florida office secured the $36.23 million loan on behalf of the buyer, Myers Apartment Group, which purchased the property prior to stabilization for $50.7 million.

Berkadia originated the mortgage using Fannie Mae’s “Near Stabilization Execution,” which provides financing for newly constructed or recently renovated multifamily apartment communities in lease-up that are expected to achieve stabilized occupancy within 120 days of closing. The 12-year, fixed-rate loan has a competitive interest rate along with a significant interest only component.

“Portiva received its final certificate of occupancy in March of this year and has demonstrated great leasing velocity, attesting to the strong demand for well-located, high-quality product in this market,” explained Sinberg. “The buyer was able to acquire the property at a below-market price, and we helped them achieve the goal of closing before full stabilization, with little risk, by using Fannie Mae’s ‘Near Stabilization’ program. We anticipate the property will be at full stabilization in the next 30 to 60 days.” 

According to Berkadia’s Q2 2018 Jacksonville Multifamily Report, apartment occupancy in Jacksonville is 94.5 percent – above the five-year average of 94.2 percent – and average asking rent has advanced 3.9 percent to $1,030 per month.  Renters were drawn to new supply during the last year, with 1,899 newly leased units in the last four quarters. Absorption was highest in the submarkets of Southside/Bay Meadows and Southeast Jacksonville. Underpinning healthy rental demand was brisk job growth and the median existing single-family home price reaching a historic high of $254,800, up 13.5% year over year.

Located at 6898 Skinner Parkway, Portiva is a mid-rise apartment community built in 2018 that is conveniently located close to I-95 and the Jacksonville beaches. Major shopping and dining destinations, including St. Johns Town Center, are located only 10 minutes away. The pet-friendly community offers one-, two-  and three-bedroom homes with wood-style flooring, French Door refrigerators, premium stainless steel appliances, granite countertops, and a washer and dryer in each unit. Amenities include a salt water pool, pet park and spa, bocce ball court, yoga/cross-training center, five outdoor fire pits and a fireplace, bike storage and repair station, and car wash station.

Fort Myers, Fla. (Aug. 8, 2018) – Berkadia announced today it has arranged $38.209 million in acquisition financing for The Fountains at Forestwood, a 397-unit multifamily community in Fort Myers, Florida. Senior Managing Director Mitch Sinberg, Associate Director Matt Robbins, and Director of Operations Jared Hill of Berkadia’s South Florida office secured the loan on behalf of an affiliate of Lloyd Jones Capital, a multifamily real estate investment firm based in Miami. The property traded for $55 million, or approximately $138,000 per unit.

Freddie Mac originated the 10-year, fixed-rate loan through its “Green Up” program, which provides financing incentives for borrowers committed to green improvements including reduction in water consumption by 25 percent.

“The overall transaction required a highly structured product as the buyer had capital that needed to be deployed through a 1042 exchange after selling an unaffiliated entity to an ESOP,” said Sinberg. “Since the 1042 exchange didn’t allow for additional equity partners, we structured subordinated debt to cover any additional capital needs of the client. This was a very unusual structure for agency lending but through the creativity and effort of the borrower, Freddie Mac, Berkadia and the subordinate debt provider, we were able to accomplish the very challenging task at hand.”

Built in 1985, The Fountains at Forestwood is located at 1735 Brantley Road and has 397 loft-style, luxury one- and two-bedroom apartments. Amenities include a resort-style swimming pool, 24-hour fitness center, lakefront jogging trails, and a car wash center. It is conveniently located close to I-75 and Florida Southwestern State College.