Monday, May 2, 2016

Trion Properties Repositions 1920s Value-Add Multifmaily Asset in Los Angeles, CA; Triples Equity for Investors

The Eleanor Apartments, 412 South Lake Street, Los Angeles, CA

Max Sharkansky
Los Angeles, CA (May 2, 2016) – Trion Properties, a Los Angeles-based private equity firm with a niche focus on value-add multifamily investments, has successfully repositioned and rebranded The Eleanor, a 41-unit 1920’s boutique apartment community at 412 S. Lake Street in Los Angeles, more than tripling its equity since its acquisition in 2013, according to Max Sharkansky, Managing Partner of Trion Properties.

Situated in a gentrifying neighborhood directly west of downtown Los Angeles, the multifamily property was neglected during its prior ownership and was completely vacant upon acquisition, presenting a strong value-add opportunity, according to Sharkansky.  Trion took the asset from zero to 100 percent occupancy within 30 months.

“Urban infill product throughout Los Angeles is making a tremendous comeback due to the lack of developable land available and the upward pressure on rents throughout the region,” explains Sharkansky.

“Our overall strategy to identify and reposition ‘diamond in the rough’ assets allowed us to immediately recognize the deep potential in this property and integrate a comprehensive renovation plan that preserved the integrity of its original vintage charm while also significantly driving value for the asset in record time.”

Mitch Paskover

Continental Funding Group, a Los Angeles-based mortgage banking firm, secured the refinancing on behalf of Trion Properties for a total of $6.1 million - a 67 percent loan to value. The non-recourse loan was secured at a rate of 3.5 percent for a five year term.

“Our firm secured financing for Trion’s initial acquisition of this asset in 2013,” notes Mitch Paskover, President of Continental Funding Group.  “Based on the tremendous transformation of the property and the equity that Trion built in its initial years of ownership, we were able to source and secure a competitive cash-out loan that keeps Trion moderately leveraged on the asset.”

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

Katie Kea / Lexi Astfalk
Brower, Miller & Cole
(949) 955-7940

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