Peoria apartments sold
Peoria, Ill. – The $3.4 million, 139-unit Villa Bordeaux was sold to a group of investors represented by Glen Oak Realty. The property includes 82 two-bedroom units, 50 one-bedroom units and seven studios.
The seller was represented by Adam Hecht, an attorney for Inland Real Estate Sales, Inc. Inland was also the broker of the deal. “This is one of Peoria’s largest complexes,” said Bob Edmiston, Inland vice president.
America First acquires The Greenhouse
Omaha, Neb. – America First Apartment Investors, Inc., a real estate investment trust, bought The Greenhouse, a 126-unit luxury mid-rise apartment building in downtown for $15.2 million. The acquisition also includes a leasehold interest on an adjacent parking garage with 150 parking spaces.
America First has fee-managed The Greenhouse since 2004; the property is located one block from its headquarters.
“Although we intend to continue operating The Greenhouse as a luxury rental apartment community for the next few years, its location and quality offers the potential of conversion to condominiums,” said Jack Cassidy, America First CEO.
Home acquires Peppertree, Cinnamon
Silver Spring, Md. – Home Properties, Inc., purchased two contiguous apartment projects, Peppertree Farm and Cinnamon Run, for $172 million. The two properties, totaling 1,392 units, were built in the 1970s and early 1980s.
Home borrowed a 10-year, $80.5 million loan for the Peppertree Farm acquisition, and a 10-year $67.7 million loan for Cinnamon Run. Both loans were provided by M&T Realty Capital Corp. with Freddie Mac financing and have a fixed 5.25% interest rate.
About $8.1 million will be spent to renovate the properties, according to Home.
Hebrew SeniorLife receives $8 million
Denham, Mass. – Hebrew SeniorLife received an $8 million grant from the Carl and Ruth Shapiro Family Foundation for a proposed multigenerational campus. It is among the largest donations in the foundation’s 102-year history.
The campus will be built on a 162-acre site here. It will have clubrooms, a theater, a library, art studios, restaurants, a post office, a convenience store and a fitness center, as well as 182 one- and two-bedroom apartments.
Archstone-Smith buys The Gershwin
New York – Archstone-Smith acquired The Gershwin, a 40-story, 550-unit high-rise in Manhattan for $342 million.
Built in 1998, The Gershwin offers studio and one- and two-bedroom apartments. Amenities include a 24-hour concierge, a health club, an indoor swimming pool, a sunbathing terrace and a 120-space parking garage. The development’s 41,200 square feet of retail is fully occupied by tenants such as restaurants, a dry cleaner and a Food Emporium Supermarket.
The equity for this acquisition was funded with tax-deferred exchange proceeds from dispositions of noncore assets and $7.5 million of operating partnership units. Archstone-Smith also assumed $100.5 million of tax-exempt floating-rate bond financing and $11.8 million of conventional debt at a combined 4.1% interest rate.
Archstone-Smith also purchased Archstone Cupertino, an $88 million, 311-unit multifamily development in Cupertino, Calif.
Berkshire does Sec. 1031 exchange
Fort Lauderdale, Fla. – Berkshire Income Realty, Inc., sold the 306-unit The Berkshires at Marina Mile Apartments here for $47 million to an unaffiliated third party.
The transaction was structured as a Sec. 1031 tax-deferred exchange. Berkshire plans to reinvest its share of the proceeds from the sale in the purchase of a qualified replacement property.
Post converts apartments into condos
Tampa, Fla. – Post Properties, Inc., is converting 206 homes at Post Harbour Place into for-sale condominiums through a taxable real estate investment trust subsidiary. Another 578 units will remain as rental apartments.
Built in 1998, the lofts, townhouses and apartments will now be known as Harbour Place City Homes. The units range in size from 700 square feet to 1,600 square feet, and will sell from the $190,000s to the $430,000s.
The conversion, marketing and sale of the property will be managed by The Toni Everett Co.
Waterton fund makes first purchase
Atlanta – Waterton Residential Property Fund IX, the newest multifamily investment fund of Waterton Associates, LLC, has made its first acquisition, the 312-unit Balmoral Village in a suburb here.
Waterton Fund IX is the third joint venture between the California State Teacher’s Retirement System and Waterton Associates. It has $330 million in equity and an investment capacity of $1 billion. The fund targets low to mid-teen internal rates of return with an average hold period of three to five years.
“We have the ability to close quickly,” said Rick Wise, director of acquisitions for Waterton. “We expect to acquire $400 million in 2006.”
Waterton Associates is a Chicago-based real estate investment and advisory firm.
Montecito converts Ventana into condos
Tucson, Ariz. – Montecito Ventana, LLC, an affiliate of Montecito Property Co., LLC, has acquired San Ventana here for condo conversion.
The 408-unit complex, renamed Veranda at Ventana, had featured one-, two- and three-bedroom apartments ranging from 648 square feet to 1,117 square feet in size. As condos, they are expected to sell from the $140,000s to the $300,000s.
“We have had great success in areas of Arizona, and we’re confident this first endeavor in Tucson will produce similar results,” said CEO Chip Conk.
BlackRock buys Museum Gardens
Los Angeles – BlackRock Realty bought the $39.5 million Museum Gardens, a Class A mixed-use development in the city’s Art Deco corridor. The property was built in 2005.
The one-acre Museum Gardens has 94 apartments over two levels of parking and 4,038 square feet of retail fronting Wilshire Boulevard. The retail tenants include Subway, Robeks and Starbucks. The sellers were Chandler Partners and Ameriton Properties, and the broker was Transwestern Commercial Services.