Eagle Property Capital Investments, LLC (“EPC”), a vertically integrated real estate investment manager focused on the value-add multifamily space, announced the disposition of Montecito Club, a 331-unit apartment community, and Arlington Hills, a 172-unit multifamily property located in Arlington, west of Dallas-Fort Worth, Texas. EPC Multifamily Partners III, LLC (“Fund III”), a private investment vehicle raised and managed by EPC, acquired both assets in 2016.  Montecito Club was acquired by APF Properties; Arlington Hills was acquired by EPC Multifamily Partners IV, LLC (“EPC Fund IV”), a private investment vehicle raised and managed by EPC.

 

“The repositioning strategy that we implemented had a direct and positive impact on the properties’ profitability, which allowed us to realize a significant capital gain on the investment through their disposition,” said Gerardo Mahuad, Managing Principal at Eagle Property Capital.  “Despite today’s challenging environment, the disposition of these two assets exemplify the success and effectiveness of our value-add strategy and capital improvement program. We will continue to execute on our long-term investment strategy by identifying attractive value add investments.”           

Montecito Club, located at 2001 S. Cooper St. in Arlington, was built between 1968 and 1979. Arlington Hills, located at 3200 S. Center St. in Arlington, was built between 1984 and 1990.
EPC successfully implemented a thorough repositioning strategy that substantially improved the profitability of both value-add properties.  The strategy included upgrading the apartment interiors, existent common areas and amenities, adding new amenities and services as well as employing water and energy conservation programs.

 

Eagle Property Capital Investments is a vertically integrated real estate investment manager pursuing value-add investment strategies through the acquisition, reposition, and management of multifamily apartment properties in Florida and Texas. Since 2011, EPC and its affiliates have acquired 33 multifamily residential properties containing over 7,900 apartment units and 4 more multifamily residential properties under contract that will add approximately 1,300 additional units to its portfolio. To learn more about EPC, visit www.eaglepropertycapital.com

 

A joint venture between Eagle Property Capital Investments, LLC (“EPC”), a vertically integrated real estate investment manager focused on the value-add multifamily space, and Promecap, a leading private equity firm based in Mexico City, has acquired two apartment communities in the Dallas-Fort Worth Metro area: the 466-unit Enclave at Prestonwood and 492-unit Residences at Mesa Ridge. Both assets were acquired by EPC Promecap Multifamily Partners V, LLC (“Fund V”), a newly launched multifamily investment vehicle targeting the acquisition of approximately $1.2 billion in income-producing, value-add properties in high-growth Sun Belt markets.

The joint venture will implement a thorough repositioning strategy for both assets.

“The Dallas-Fort Worth Metro boasts one of strongest fundamentals and one of the most recession-resistant multifamily investment markets across the country,” said Gerardo Mahuad, Managing Principal at Eagle Property Capital Investments. “Its diverse and dynamic economy as well as rapidly growing population continue to drive demand and rent growth, which is why it remains a key market for our investment strategy moving forward.”

“These well-maintained and well-located assets presented a tremendous repositioning opportunity in two high-growth submarkets,” added Federico Chavez Peón, Managing Principal at Promecap. “Through exterior improvements, partial upgrades to interiors, the addition of top-notch modern amenities, and installment of professional management, the EPC/Promecap team will be able to provide a much more compelling value proposition for residents and simultaneously increase NOI.”

Built in two phases between 1983 and 1984, Residences at Mesa Ridge is located 1051 E. Centerville Road in the Garland submarket. It consists of 39 two- and three-story garden-style buildings. It offers one, two and three-bedroom apartments ranging in size from 500 to 1,186 square feet, with features such as fireplaces, vaulted ceilings and walk-in closets. Amenities include a pool, tennis court, clubhouse, covered parking and laundry facility. The property is located within the Garland Independent School District (“ISD”), a B+ School District ranked in the top 20% in Texas. The property offers easy access to Interstate 30, four miles away, and I-635, and is just 20-30 minutes from downtown Dallas and office employment hubs in Plano and Richardson.

Built in 1978 and located at 5930 Arapaho Road in the Far North Dallas submarket, Enclave at Prestonwood consists of 39- two story buildings offering one- and two-bedroom units ranging from 480 to 944 square feet.  Amenities include a clubhouse, swimming pool, fire pit with outside grilling areas, fitness center, dog park, covered parking, and children´s play area. Located at the intersection of Arapaho Road and Preston Road, the property benefits from significant high-end retailers and restaurants along the Belt Line corridor, providing residents with a multitude of lifestyle amenities within a 5-minute drive. It is centrally located between DFW’s three major office employment nodes – Farmers  Branch, Addison, and Carrollton – just 20 minutes north of downtown Dallas.

A niche player in the multifamily space, EPC has demonstrated success in catering to the middle-income Hispanic market, the fastest-growing demographic in the United States. According to data from the 2020 Census, the Hispanic or Latino population grew from 50.5 million (16.3% of the U.S. population) in 2010 to 62.1 million (18.7%) in 2020.  Fund V focuses its investment strategy on high growth cities with strong fundamentals and high Hispanic presence that have benefited and will continue to benefit from in-migration from other states, limited supply of single-family homes and favorable regulatory and tax environments.

Since 2011, EPC has launched seven investment vehicles with over $350 million in equity commitments and completed $712 million in transactional volume. EPC’s historically successful track record includes producing above target returns to investors in four realized investment vehicles.  To learn more about EPC, visit www.eaglepropertycapital.com

 

 

Berkadia has arranged financing for Eagle Property Capital’s acquisition of three multifamily communities in Houston’s outer loop. The properties are Landmark at Barker Cypress (312 units), Champions Centre Apartments (192 units) and Champions Park Apartments (246 units). Miami-based Eagle Property Capital (EPC) is a real estate investment manager engaged in the ownership, acquisition, management and disposition of value-add multifamily apartment properties targeting predominantly, but not exclusively, Hispanic communities in the Southern United States, on behalf of institutional and private investors.

EPC is a repeat client of Berkadia, which has provided over $238 million of financing for EPC through 14 different transactions totaling nearly 4,000 units throughout Texas and Florida since 2015. Senior Managing Director Mitch Sinberg, Senior Director Brad Williamson and Associate Director Matthew Robbins of Berkadia’s South Florida office arranged the financing for these three properties through Freddie Mac’s “Green Advantage” program, which provides better pricing for reduction in water/energy consumption. EPC will invest half a million dollars in water conservation and energy-efficient upgrades to interiors and common areas of all three properties.

 All three loans were lower leverage fixed-rate, with 10-year terms and five years interest only.

“EPC is one of the top multifamily firms that targets Hispanic based communities, whose mission is not only to enhance the overall quality of life for its tenants, but also to improve the properties by recapitalizing them,” said Williamson. “EPC has been extremely active acquiring over $463 million of real estate and is currently on their fourth fund. We look forward to continue advising their firm and building our excellent relationship with them.”

 “With a continuously growing economy supported by updated infrastructure and a well-educated workforce, Houston’s multifamily market has seen tremendous growth with rising rents for the last year and a half,” said Sinberg. “The sponsor recognized this positive trend and capitalized on a strategic portfolio near major employment hubs including the Medical Cluster, the Energy Corridor and Memorial City.”

 “EPC believes in the strong fundamentals of the Houston market and is a city that has a perfect fit with our investment strategy and target demographic,” said Mr. Conesa, Co-Founder and Managing Principal of EPC.

 “Landmark at Barker Cypress, Champions Park and Champions Centre are quality assets with significant value enhancement opportunities in highly desirable locations in Houston that represent a great addition to our portfolio,” added Mr. Mahuad, Co-Founder and Managing Principal of EPC.

 “The trusted advice from Berkadia has been crucial to the growth of our firm,” said Mr. Conesa.

 Berkadia also secured financing for the following properties in Eagle Property Capital’s portfolio: Huntington Apartments in Houston; Valley Oaks in Hurst, Texas; Arlington Hills and Montecito Club in Arlington, Texas; Captiva Club in Tampa, Fla.; Gateway on 4th in St. Petersburg, Fla.; and Glen Arbor & Westgate, Sedona Park, Villas de Estancia, Colinas Ranch, and Woodchase & Clarendon in Irving, Texas.