TruAmerica Multifamily, in joint venture with an institutional capital partner, has acquired a two-property, 472-unit apartment portfolio in Tempe, AZ for $67.3 million increasing its local portfolio to more than 2,400 units. 

“We continue to be net buyers in Phoenix, and Tempe in particular,” said TruAmerica Director of Acquisitions Chris MacLeod.  “Nearly six out of 10 residents in Tempe are renters making it the highest propensity to rent-vs-own submarket in Arizona.  Despite the robust population and job growth, not much product has been added to the inventory.  What has been built, is higher priced mid- and high-rise development, out of the reach of the majority of the area’s renter population.   This has created a severe supply/demand imbalance and an extremely competitive investment environment.  In the end, it was our local relationships and reputation for execution that was key to acquiring the portfolio,” said MacLeod.

The portfolio is comprised of 276-unit Highland Park and 196-unit Park View, located within a block of one another near the I-10 and Baseline Road, one of the major east/west arterials in Tempe.  Each low-density garden style development was built in the early 1980s and feature one-, two- and three-bedroom apartment homes.  Each community is highly amenitized with resort style pools, fitness centers, clubhouses and recreational areas.  The properties are within a 20-minute commute from three major employment hubs: Sky Harbor, Downtown Tempe, and Papago, which accounted for more than 50 percent of the job growth experienced by the Phoenix metro from 2017 to 2018.  

With the majority of apartment units still in their original condition, Highland Park and Park View represent a strong value-add opportunity for TruAmerica.   TruAmerica will initiate a significant capital improvement program across the portfolio including upgrading apartment interiors, renovating all community amenities and refreshing exteriors and landscaping to meet the demands of today’s renter. 

The acquisition was leveraged with favorable financing through Freddie Mac’s Select Sponsor Program originated by the CBRE Capital Markets team led by Vice Chairman Brian Eisendrath.  

Tyler Anderson, Sean Cunningham, Asher Gunter and Matt Pesch from CBRE’s Phoenix office brokered the transaction.  

Beverly Hills, CA (October 9, 2018) -- TruAmerica Multifamily has been awarded the inaugural Pet Pawsitive Award by the non-profit social enterprise Michelson Found Animals Foundation for its pet friendly policies and initiatives across its 37,000-unit portfolio.

The Foundation annually celebrates the efforts of local officials, businesses, individuals and organizations focused on improving the lives of pets and their people, and a recognition of the joy pets bring to our lives. The Foundation expanded its awards program, now in its seventh year, to include the inaugural Pet Pawsitive Award to recognize organizations with pet friendly policies that benefit their employees and customers, enrich the community and make a positive impact on pets and their people. 

“Each year, I look forward to meeting the impressive individuals and organizations who are doing incredible work for pets in their communities and across the country,” said Dr. Gary Michelson, founder of Michelson Found Animals Foundation. “Whether spearheading animal rights legislation or making the world a little more pet friendly, their combined efforts play a huge role in the future of animal welfare. I am grateful for what they do and am honored to work beside them to further our mutual goal of saving animals and enriching lives.”

TruAmerica was recognized for providing people and their pets with a great experience at home. With 37,000 apartments from coast to coast, TruAmerica operates pet friendly communities which include award winning dog parks, dog centers, dog spas and more. Many of TruAmerica’s apartment communities regularly host special events and activities tailored toward pet owners and prospective owners including ‘Yappy Hour’ and adoption events. 

“Pets are an enriching part of our lives that add a positive element to family life, which is why we adopted welcoming policies related to pets and their owners who reside in our safe pet friendly communities within our entire 37,000-unit apartment portfolio,” said TruAmerica President and CEO, Robert Hart.  “It is an honor to be recognized by Michelson Found Animals which does so much to enrich the lives of pets and the people who love them.”

About TruAmerica Multifamily

TruAmerica Multifamily is a vertically integrated, value-add multifamily investment firm based in Los Angeles. Founded in July 2013 as a joint venture between Robert Hart and The Guardian Life Insurance Company of America, TruAmerica has been one of the country's most active multifamily investors and manages a $7.9 billion portfolio of approximately 37,000 units across prime locations throughout Northern and Southern California, Washington, Oregon, Colorado, Arizona, Nevada, Utah, Maryland and Florida. For more information on TruAmerica Multifamily, visit http://www.truamerica.com or call (424) 325-2750.

About the Michelson Found Animals Foundation:

Michelson Found Animals Foundation is a leading animal welfare non-profit organization committed to keeping pets safe at home with the pet parents who love them. With a mission of Saving Pets, Enriching Lives, Found Animals is advancing the health and safety of pets through the first free, national microchip registry, solutions-based programs addressing pet adoption, microchipping, low-cost spay neuter services and grants for research into non-surgical spay and neuter methods. The foundation provides educational resources for pet parents and support for a variety of animal welfare organizations and is also supporting start up innovation in the pet care industry with the Leap Venture Studio. Generously funded by Dr. Gary Michelson and Alya Michelson, Found Animals has helped more than 1.5 million pets since it was founded in 2005. Follow our progress online at www.FoundAnimals.org, or via social media at Facebook, Instagram, Twitter, and YouTube.

LOS ANGELES, CA (Sept. 11, 2018) — TruAmerica Multifamily has acquired Solis at Winter Park, a 596-unit Class-B multifamily property in Orlando, FL in a transaction valued at $79 million.

With the acquisition of Solis, TruAmerica, one of the fastest growing apartment operators in the United States, has invested approximately $500 million in nine Florida communities since entering the market in early 2017. The Los Angeles-based real estate investment firm’s Florida apartment portfolio totals more than 3,700 units, with more than 60 percent in the greater Orlando market. 

“Orlando exhibits excellent multifamily fundamentals, and Solis is a great value add asset in the best zip code in the market,” said TruAmerica Senior Managing Director Matthew Ferrari, who oversees the firm’s acquisition team.  “Orlando’s economy continues to grow and diversify well beyond tourism and is now home to new jobs from a broad group of employment sectors including healthcare, telecom, bio tech, and high technology. As a result, the metro led the nation for a third straight year with 3.8 percent job growth and has averaged 4.1 percent job growth over the last four years. That has created tremendous demand for well-located, quality rental properties.”

Solis at Winter Park is located within 20 minutes of more than 300,000 jobs, and five miles from the Central Florida Research Park, the largest research facility in the state. Its central location makes it ideal for dual-income households commuting to companies within the area, which include Apple, Bank of America, Northrup Grumman, Boeing, and Hewlett-Packard. It is also equally well situated to several large universities, including the University of Central Florida, the second largest university in the country based on enrollment.

Built in 1986, the low-density 30-acre property comprises 29, two- and three-story buildings with a mix one- and two-bedroom apartment homes averaging 862-square-feet, with many of the units having views of one of the property’s four lakes. The apartments feature stainless appliances, oversized closets, ceiling fans, and full-size washers and dryers while select homes feature vaulted ceilings and lake views. Community amenities include two pools, fitness center, lighted tennis courts, a sand volleyball court and a fenced dog park.

TruAmerica plans to renovate all apartment homes as leases expire. Improvements will include, faux-wood floors, stone countertops, cabinet fronts, modern lighting and green plumbing fixtures. Common area improvements will include upgrading both pool areas, and clubhouses, fitness center, as well as new landscaping and exterior paint to enhance the curb appeal of the property.

TruAmerica is assuming a Freddie Mac fixed rate loan and adding a supplemental loan arranged by Walker & Dunlop.

CBRE’s Shelton Granade, Luke Wickham, and Justin Basquill marketed the asset on the behalf of the seller.

“The rental market in Orlando is robust, with steady growth starting in the first quarter of 2011 and continuing through the first quarter of 2018,” Granade said. “The home ownership rate is still at a multi-decade low in the Orlando MSA, which favors the rental market, especially with people ages 18-35.”

TruAmerica Promotes Matthew Ferrari to Head Acquisitions Nationwide and Adds Chris MacLeod as Director of Acquisition on the West Coast  

Ferrari and MacLeod are part of significant personnel moves as TruAmerica continues to grow its national platform.

Los Angeles, CA (August 14, 2018) — TruAmerica Multifamily announced several significant personnel moves to manage the vertically integrated real estate investment platform’s rapid growth, highlighted by the promotion of Matthew Ferrari to Senior Managing Director responsible for acquisitions nationally, as well as the addition of former Bascom Vice President Christopher MacLeod, who joins the firm as Director of Acquisitions on the West Coast.  The firm also added two new roles to its management team with Christopher Wei, Director of Portfolio Management, and Eryn Mack, Director of Human Resources.

“We take great pride in our ability to attract and retain best-in-class talent, from our leadership team who help keep us on course,” says firm founder and CEO Robert Hart.  “TruAmerica’s success falls on the shoulders of these sharp young real estate professionals. Through their dedication and hard work, we have been able to enjoy remarkable growth over our first five years and successfully implement our investment strategy to consistently deliver solid, risk-adjusted returns to our investors.” 

Founded in July 2013 with nine employees, TruAmerica has grown into one of the country’s largest multifamily investors managing a $7.5 billion portfolio that includes more than 35,000 units throughout the Western United States, Florida and the Mid-Atlantic region. Today the firm employs 43 professionals with offices in Los Angeles, Newport Beach, Washington, D.C., Orlando, Seattle and Denver.

Ferrari’s promotion underscores his rapid rise at TruAmerica since joining the company in August 2016 to open and run the firm’s Arlington, VA office. Since that time, Ferrari has helped build TruAmerica’s East coast portfolio in the Mid Atlantic and Southeast property markets, which have represented nearly 50 percent of the firm’s new acquisitions since mid-2016. Ferrari was previously Investments Director for AvalonBay Communities, Inc., out of the real estate investment trust’s Arlington, VA-based headquarters. There he oversaw acquisitions and dispositions in the Mid-Atlantic region. He began his career with Archstone after receiving his MBA from Georgetown University. Ferrari will continue to serve as General Manager of TruAmerica’s east coast operations.

Macleod joins TruAmerica as Director of Acquisitions, covering the Pacific Northwest, Arizona and Utah, after spending the last five years as a vice president for the Bascom Group. Macleod, a West Point graduate and former US Army officer, was responsible for the overall acquisitions process; from deal sourcing, underwriting and market analysis, to due diligence, creation of investment packages, and closing of multifamily communities throughout the West Coast.  He was instrumental in more than $730 million of multifamily transactions and was also heavily involved in the administration of four discretionary funds. Macleod will be based in the firm’s Newport Beach office working alongside Zach Rivas, Director of Acquisitions who covers California, Colorado and Nevada for the firm.  Rivas is a rising star with TruAmerica and was also recently elevated to a leadership role now covering all of California.  

Eryn Mack Legette comes to TruAmerica as Director of Human Resources where she will lead the firm’s overall infrastructure, solutions and strategy for personnel. Prior to joining TruAmerica, Mrs. Mack Legette was a Human Resources Business Partner at ADP and was an Equal Opportunity Advisor in the US Army. She holds a Doctoral Degree in Organizational Leadership and Education from the University of Southern California and earned her BA and MA from Penn State University. 

Christopher Wei has been tapped to oversee the firm’s new Portfolio Management group under the direction of Mark Enfield, Chief Administrative Officer. Wei began his career at TruAmerica as an Acquisitions Analyst and was most recently overseeing dispositions for the firm.  In his new role as Director of Portfolio Management, Wei will oversee all post-acquisition transactions, re-financings as well as dispositions.

TruAmerica also announced two other key additions to the firm:

Greg Zartarian joins TruAmerica as Acquisitions Manager working out of the company’s east coast office in Arlington, VA under the direction of Ferrari.  Previously, he was a Senior Financial Analyst at AvalonBay Communities. He holds a BA in Economics from Colby College and an MBA in real estate from Georgetown University. 

Jeffrey Chan, joins TruAmerica in the Los Angeles office as Director, Asset Management where he joins a team responsible for the management of TruAmerica’s holdings in California, under the direction of Chief Operations Officer Lynn Owen.  Previously he was an investment manager for Kairos Investment Management Company where he was responsible for managing a portfolio of 13 properties totaling 2,500 units. He has a BA in Economics from the University of California, Irvine.   

Los Angeles, CA --TruAmerica Multifamily in partnership with Intercontinental Real Estate Corporation (“Intercontinental”) has acquired the leasehold interest in the largest transit-oriented development in San Diego County, the 527-unit Alterra & Pravada at Grossmont Station in La Mesa, CA. 

“High-density, transit oriented development such as Alterra & Pravada is an example of smart growth and sustainability principles that promote housing affordability and reduce traffic congestion on our streets and highways,” said TruAmerica CEO and founder Robert E. Hart.  “We continue to seek accretive investments where we can add value and generate appropriate risk adjusted returns for our investors, while at the same time contribute to the solution of quality affordable workforce housing with access to jobs, not just here in California but throughout the United States.” 

Completed in 2010 by the seller Fairfield Grossmont Trolley LLC in partnership with the Metropolitan Transit Authority, the LEED Gold certified community features one- and two-bedroom units situated in six, four-story buildings on a high-density eight-acre site.   Of the 527 units, 15% are dedicated for rent to moderate and very low housing wage earners. 

TruAmerica and Intercontinental will undertake a capital improvement program that will consist of a modest refresh of the nearly 10-year-old interiors as units turn, and will upgrade the common area amenities that include Alterra & Pravada’s two clubhouses, two pools and pool decks.  The exterior renovation program also will include new landscaping and paint to improve the overall curb appeal of the community.  

“Upon the execution of our business plan, residents will benefit from an upgraded living experience, complementing Alterra & Pravada’s greatest amenities which are its location, walkability and commutability, setting it far apart from other properties in the competitive set,” said Jessica Levin, Senior Director, Acquisitions for Intercontinental Real Estate Corporation.  “We believe that this compelling combination will make this asset an excellent long-term investment for our investors.”

The largest of 23 transit-oriented developments (TOD) in San Diego County, the poperty is located immediately adjacent to the Grossmont Transit Center at 8727 Fletcher Parkway in La Mesa, 11 miles east of downtown San Diego. Served by the Orange and Green Lines of the San Diego Trolley and Metropolitan Transit Center bus lines, The Grossmont Traffic Center is a key trolley system transfer point providing direct routes to the region’s major entertainment and employments hubs including El Cajon, Mission Valley and Downtown San Diego. Much of the success of Alterra & Pravada as a TOD is reflected in the average weekday boarding count of more than 2,600 riders at Grossmont Trolley station making it one of the heaviest used stops in San Diego County. 

Alterra & Pravada is also within walking distance to The Grossmont Shopping Center with more than a million square feet of retail shops and restaurants, as well Sharp Grossmont Hospital, La Mesa’s largest employer. 

In 2012, The League of California Cities recognized Alterra & Pravada for combining many of the current smart growth points, utilizing existing infrastructure, promoting transit and providing measures for sustainability with close proximately to jobs and entertainment.

With the acquisition of Alterra & Pravada, TruAmerica Multifamily’s San Diego portfolio totals more than 1,600 units with assets in Oceanside, Vista, Escondido and El Cajon.     

This is the seventh joint venture for TruAmerica and Intercontinental, which together own more than 2,200 units in California and Washington.  

Kevin Mulhern, Rachel Parson, Stewart Weston and John Montakab  of CBRE’s San Diego Multifamily Investment Group represented TruAmerica and Intercontinental and the seller, Fairfield Grossmont Trolley LLC in the transaction.

The acquisition was leveraged with 10-year financing through Fannie Mae’s preferred borrower program, Borrower Channel, arranged by CBRE’s Capital Markets group led by Vice Chairman Troy Tegeler in the firm’s Orange County, CA office.