Tuesday, April 30, 2013

HFF arranges $6.1 million joint venture equity and $17.8 million financing for multi-housing community in suburban Denver, CO

Village at Coronado, Thornton, CO

IRVINE, CA – HFF announced today that it has arranged $17.79 million in financing and $6.1 million in joint venture equity for the Village at Coronado, a 390-unit multi-housing community in Thornton, Colorado.

David Bleiweiss
                HFF worked on behalf of the borrower, Investors Management Group (“IMG”), to arrange a joint venture equity partnership with KCB Real Estate Management (“KCB”), who contributed $6.1 million in equity. 

Additionally, on behalf of IMG and KCB, HFF secured a $17.8 million, 10-year, 3.85 percent fixed-rate loan through Freddie Mac’s (Federal Home Loan Mortgage Corporation) CME Program.

  The securitized loan will be serviced by HFF through its Freddie Mac Program Plus® Seller/Servicer program.  The debt and equity funding will allow IMG to further enhance the property beyond the renovations the previous owner completed from 2007 to 2008. 

Mark Erland
                The Village at Coronado is located at 1769 Coronado Parkway North approximately 10 miles north of Denver in the Adams County submarket.  Situated on 12.59 acres, the 94 percent leased property includes 390 units averaging 709 square feet each.  Community amenities include a fitness center, business center, three swimming pools, dog park and picnic areas.

                The HFF team representing IMG and KCB was led by managing director David Bleiweiss and director Mark Erland from HFF’s Orange County office and director Josh Simon from HFF’s Denver office.

Josh Simon
“The property was already outperforming projections at the close of escrow so with the combination of the new capital improvement plan and low interest, fixed-rate debt that HFF helped secure, this will be a very good investment for all parties involved, producing a strong cash-on-cash return from the start,” said Bleiweiss.

Investors Management Group, Inc. is a private investor firm located in Los Angeles, California.  Established in 1993, IMG specializes in multifamily investments nationwide.  The members of the IMG team have extensive experience in the origination, underwriting, acquisition, management and repositioning of multifamily properties.

KCB Real Estate Management is a boutique real estate fund manager that focuses on the “lower middle market” of assets that are too small for larger institutions to acquire.  Founded in 1986, KCB has a long track record of successful and prudent investing in a value-driven and tax-efficient manner. 

 For a complete copy of the company’s news release, please contact:

Kristen M. Murphy
Associate Director
HFF | One Post Office Square, Suite 3500 | Boston, MA 02109
Main: 617-338-0990 | Direct: 617-848-1572 | Cell: 617-543-4873 | www.hfflp.com

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