Monday, August 6, 2018

Avanath Capital Management Expands East Coast Footprint; Acquires 270+ Affordable Housing Units in New Jersey and Florida

Menio Manor Apartments, Edison, NJ
EDISON, NJ and FORT LAUDERDALE, FL (Aug. 6, 2018) – Avanath Capital Management, LLC, a private real estate investment manager and Registered Investment Adviser, has acquired two affordable multifamily properties totaling 273 units for a combined total of $29.36 million.

The firm acquired Menlo Manor, a 240-unit affordable senior housing community in New Jersey and Coral Ridge Isles, a 33-unit workforce housing community in Florida. Both properties were acquired through Avanath’s institutional fund, Avanath Affordable Housing III.
“We are focused on acquiring and preserving affordable and workforce housing assets in strong growth markets across the country, including areas across the East Coast,” says President of Avanath Capital Management, John Williams. 
Coral Ridge Isles Apartments, Fort Lauderdale, FL
“This is our second acquisition in New Jersey, and our ninth in Florida. Earlier this year, we acquired Centennial Court, a 101-unit senior apartment community in Wharton, which brings our holdings in the New Jersey/New York metro area to a total of 1,045 units. We also currently own a total 1,647 units in Florida.”
            Williams explains that both New Jersey and Florida are undergoing rapid economic growth and expansion, as well as experiencing significant population gains. This has led to increased demand for affordable housing options across both states.
The property is located at 161 Inman Avenue in Edison, New Jersey, and is comprised of a mix of studios, one-, and two-bedroom units. The seller, Jeff Spragens, was represented by Alex Medeiros of CBRE.
Alex Madeiros
“Both of these acquisitions will allow us to maintain housing affordability in these cost burdened areas, as well as amass economies of scale to drive down operating costs, and better serve residents,” says Williams.
These acquisitions include:
240-Unit Senior Housing Community in Edison, New Jersey
Avanath Capital Management acquired Menlo Manor, a 240-unit, five-story affordable apartment community for seniors in Edison, New Jersey.
The property is located at 161 Inman Avenue in Edison, New Jersey, and is comprised of a mix of studios, one-, and two-bedroom units. The seller, Jeff Spragens, was represented by Alex Medeiros of CBRE.

John Williams
Constructed in 1980, the property is extremely well-maintained and located in an exceptionally strong submarket, according to Williams.
“Edison has historically benefited from its proximity to New York City, and continues to outperform other areas of Central New Jersey,” says Williams. “Because of this, there is an extremely strong demand and need for affordable housing options for seniors throughout the area.”
Williams explains that seniors want to be located in dense regions that allow them to be close to their families.
“This is why we strategically acquire properties that are located in areas near major urban centers and amenities. In fact, Menlo Manor is located in close proximity to interstate 287, major employment hubs, retail centers, schools and medical institutions, among other amenities,” says Williams. “This allows us to provide deeply affordable housing to seniors in areas where it is most needed.”

Kirk A. Felici

33-Unit Workforce Housing Community in Fort Lauderdale, Florida
Avanath Capital Management has acquired Coral Ridge Isles, a 33-unit workforce affordable housing community in Fort Lauderdale, Florida. This property was acquired in joint partnership with Oak Tree Residential.

The apartment community is located at 1400 NE 53rd Court in Fort Lauderdale, Florida. The seller, a private investor, was represented by Kirk A. Felici of Marcus & Millichap.
Located in the Coral Ridge Isle neighborhood, Coral Ridge Isles is surrounded by large single-family homes, and is one of the only remaining apartment communities in the region that has not been converted to condos, according to Williams.
“This has resulted in significant demand for quality workforce housing in the area,” he explains. “In addition, much of the multifamily development throughout the Fort Lauderdale submarket has been focused on luxury multifamily communities that cater to residents that make in excess $100K per year, creating a significant lack of affordable supply. 

"Coral Ridge Isles provides the average working American throughout the region with quality and affordability.”

Daryl J. Carter
Founded by Daryl J. Carter, the Avanath management team averages 25 years of experience and has successfully guided investment funds in defining growth opportunities and delivering attractive returns. 

Avanath professionals have real estate operating expertise and long-standing relationships with strong local, regional and national sponsors that can access investment opportunities aligned with Avanath's initiatives. 
For more information, please contact:

Samantha Kay / Lexi Astfalk
(949) 955-7940

Passco Companies Hires Kristi Ruggeberg to Bolster Multifamily Investment Team

Kristi Ruggeberg

Irvine, CA (Aug. 6, 2018) – Passco Companies, a privately-held California-based real estate company that specializes in the investment, acquisition, development and management of commercial properties throughout the U.S., has further expanded its growing multifamily team with the addition of 35-year industry veteran Kristi Ruggeberg as a Director of Multifamily Investments.
Ruggeberg will oversee a portion of Passco’s multifamily portfolio, which includes approximately 40 properties and 13,000 units nationwide with a total market value in excess of $2 billion, according to Jeff Olshan, the firm’s Senior Vice President of Multifamily Investments.

Jeff Olshan
“As we continue to strategically grow our multifamily portfolio at a rapid pace, we’ve assembled an experienced team of multifamily experts in order to ensure that we meet or exceed expectations with each of our investments,” explains Olshan. 
“We are very pleased to welcome Kristi to our team. She is a seasoned professional with a deep understanding of the portfolio and property-level operations of multifamily investments.”
Ruggeberg’s experience includes over 20 years specializing in multifamily analysis and asset management. In her new role, she will be directly responsible for overseeing a portfolio of 10 properties located across the country.
“Passco has a superb reputation in the industry, due to the firm’s proven approach to multifamily investment, as well as its exceptional culture,” says Ruggeberg. “I look forward to growing in the next stage of my career with a team that has a clear and strategic vision for its future, and deeply values each and every one of its employees.”

Nika Dufour
Most recently, Ruggeberg served for 10 years as a Director of Asset Management for UBS Realty Investors, where she supervised a diverse portfolio of multifamily assets throughout the Southwest and Mountain regions.
Prior to that, Ruggeberg spent 12 years as a Senior Asset Management Analyst with INVESCO Realty Advisors.
She began her career at a private real estate firm and gained experience as a leasing manager and then a property manager before moving into the asset management space. She is a graduate of the University of Northern Iowa.
Ruggeberg will be based out of Passco’s Dallas, Texas office. Her appointment comes on the heels of the additions of Nika Dufour as a Vice President of Multifamily Investments, Jera Harris as Director of Multifamily Investments, and Brooks Foy, Investment Manager, earlier this year.

For more information, please contact:

Elisabeth Manville / Lexi Astfalk
Brower Group
(949) 955-7940

HFF announces sale of Pensacola, FL shopping center

Brad Peterson
ORLANDO, FL, Aug. 6, 2018 – Holliday Fenoglio Fowler, L.P. (HFF) announces the sale of Tradewinds Shopping Center, a 178,557-square-foot retail center with multiple national anchors in Pensacola, Florida.

The HFF team marketed the property on behalf of the seller.  Hackney Real Estate Partners purchased the asset free and clear of existing debt. 

Tradewinds Shopping Center is 91.8 percent leased to a variety of national and regional tenants, including T.J.Maxx & HomeGoods, Jo-Ann Fabric & Crafts, Shoe Station, Tuesday Morning, Dollar General, Sprint, Massage Envy, GNC and Advanced Dental Care. 

Situated on 19.2 acres at 6601 North Davis Highway, the center is positioned on the six-lane North Davis Highway (SR 291), which is one of two primary retail corridors in Pensacola, and is visible to more than 33,000 vehicles per day. 

Additionally, the center is one mile south of the interchange of Interstates 10 and 110.  More than 59,900 residents earning an average annual household income of $57,817 live within a three-mile radius of Tradewinds Shopping Center.

Whitaker Leonhardt
The HFF investment advisory team representing the seller included senior managing director Brad Peterson and senior director Whitaker Leonhardt. 

“We really love the Florida Panhandle markets and telling Pensacola’s unique market story,” Leonhardt said.  

“It’s actually one of the strongest markets in Florida from an employment standpoint with a strong military presence, great healthcare providers, numerous college campuses and a dynamic downtown. 

"Tradewinds Shopping Center is a very successful shopping center with great tenants in the heart of Pensacola, and this exciting market story combined with the tenant lineup made this a highly sought-after asset with over 10 strong offers received from a variety of investors.”

For more information, please contact:

HFF Digital Content/Public Relations Specialist
(713) 852-3420

HFF announces $25.46 million financing of two-property retail portfolio in suburban Minneapolis, MN

Chris Drew
MIAMI, FL, August 6, 2018 – Holliday Fenoglio Fowler, L.P. (HFF) announces the $25.46 million acquisition financing of a two-property, grocery-anchored retail portfolio totaling 305,765 square feet in suburban Minneapolis.

The HFF team worked on behalf of the borrower, an affiliate of Sterling Organization, to place two separate loans for the acquisition of Village Ten Shopping Center and Shannon Square Shoppes.  

Morgan Stanley Bank, N.A.  provided the 10-year, fixed-rate loans, which will be serviced by HFF. 

The portfolio, which is situated in two affluent Minneapolis suburbs, comprises the 208,127-square-foot Village Ten Shopping Center anchored by Cub Foods and Lifetime Fitness in Coon Rapids, Minnesota, and the 97,638-square-foot Shannon Square Shoppes anchored by Cub Foods in Arden Hills, Minnesota.  The portfolio was 99 percent occupied at purchase. 

Jules Sherwood
The HFF debt placement team included senior managing director Chris Drew; senior director Nat Scarmazzi; managing director Jules Sherwood, a licensed Minnesota real estate broker; managing director Tim Joyce and associate Matthew McCormack.

“This acquisition helped Sterling Organization further expand their grocery-anchored investment holdings within the affluent and growing Twin Cities MSA,” Scarmazzi said.  “The accretive debt was a testament to the strength of the location and historical performance of each of these assets.”

Sterling Organization is a vertically integrated private equity real estate firm that has an established track record of providing exceptional risk-adjusted returns to its partners, in both relative and absolute terms. 

Tim Joyce
The company’s national platform is focused on investing in value-add retail real estate assets and stabilized/core grocery-anchored shopping centers in major markets across the United States on behalf of Sterling’s principals in partnership with the highest quality institutional investors. 

 Sterling Organization is headquartered in Palm Beach, Florida.  

 For more information, please contact:

HFF Digital Content/Public Relations Specialist
(713) 852-3420

HFF announces $72.75 million sale of community center in Winter Park, FL

Center of Winter Park, 501 North Orlando Avenue, Winter Park, FL
Brad Peterson
ORLANDO, FL, Aug. 6, 2018 – Holliday Fenoglio Fowler, L.P. (HFF) announces the $72.75 million of Center of Winter Park, a 244,977-square-foot community center located in the Orlando-area community of Winter Park, Florida.

The HFF team marketed the property on behalf of the seller, Sterling Organization.  AEW Capital Management, L.P., on behalf of one of its separate account clients, purchased the asset free and clear of existing debt.

Center of Winter Park is at 501 North Orlando Avenue and positioned at the most dominant retail intersection catering to Winter Park, which, with average incomes exceeding $127,000 annually, is the most affluent community in north Orlando. 

Additionally, the area is a grocery hub with three popular brands within 500 yards of the property. 

Whitaker Leonhardt
With a mix of national and regional tenants, the 97-percent-leased Center of Winter Park is home to Ross Dress for Less, HomeGoods, Marshalls, Petco, DSW, LA Fitness, Five Below, Olive Garden, Great Clips, The UPS Store, George’s Gourmet Cookies, Office Depot, Michaels and Zoës Kitchen.  

Additionally, there is a parcel acquisition and redevelopment opportunity.

The HFF investment advisory team representing the seller included senior managing director Brad Peterson, senior director Whitaker Leonhardt and associate Michael Brewster.

“This is one of the most special assignments of my career,” Peterson said.  “The Center of Winter Park is located near my house, so I shop it weekly, drive past it daily for work and have had the privilege of witnessing one of the most successful shopping center developments in the U.S. over the past five years, right here in my own backyard.  The Sterling Organization really hit this one out of the park!”

Michael Brewster
“I cannot be more pleased to also see AEW Capital Management as the new owner,” Peterson continued.  “Over the past two decades, I have seen dozens of high-profile shopping centers around the U.S. that AEW has meticulously cared for, merchandised and taken to the next level. 

"As a resident and frequent shopper of the center, I am really excited to see them sprinkle some more of their ‘magic,’ which will truly improve the quality of life for all the residents of our Winter Park community.”

“The Center of Winter Park is one of the highest quality centers brought to market in the Southeast in 2018,” Leonhardt added.  “It is located at the most dominant retail intersection north of downtown Orlando, nestled between high-volume Whole Foods, Publix and Trader Joe’s stores, has successful category leading anchor tenants and still has a tremendous amount of upside and NOI growth potential.  It truly checks all the boxes investors are seeking today.”

For more information, please contact

HFF Digital Content/Public Relations Specialist
(713) 852-3420

Marcus & Millichap Broker $9.35 Million Sale of 128-Unit Eagle Point of Daytona Apartments in Daytona Beach, FL

  DAYTONA BEACH, FL,  Aug. 6, 2018 – Marcus & Millichap (NYSE: MMI), a leading commercial real estate investment services firm with offices throughout the United States and Canada, today announced the sale of Eagle Point of Daytona, a 128-unit apartment property located in Daytona Beach, Fla., according to Ari Ravi, regional manager of the firm’s Tampa office. The asset sold for $9,350,000.

Michael Donaldson
Michael Donaldson and Nicholas Meoli, senior vice presidents in Marcus & Millichap’s Tampa office, had the exclusive listing to market the property on behalf of the seller, a limited liability company based in Ormond Beach, Fla. 

 The buyer, a private investor, was secured and represented by Ned Roberts, an investment specialist in Marcus & Millichap’s Tampa office. 

“The Daytona Beach submarket has gained significant attention from multifamily investors in recent years due to millions in ongoing development, rent growth that has attained top ranking in the nation and continued renter demand outpacing incoming supply,” stated Mr. Donaldson. 

“Eagle Point is a prime investment capitalizing on these positive trends taking place in the area, with majority two-bedroom units and an excellent repositioning opportunity.

Nicholas Meoli
"Through our national marketing campaign, we generated over 330 registered buyers and procured 11 offers – a testament to the demand for properties in secondary Florida markets such as Daytona Beach,” adds Mr. Meoli.

“The buyer intends to implement a renovation strategy to bring the community on par with some other renovated communities in the area, while also increasing the curb appeal and adding additional amenities,” says Mr. Roberts.

Eagle Point of Dayton is a 128-unit community built in 1973, comprised of 32 one-bedroom/one-bath units and 96 two-bedroom/one-bath units. Eagle Point of Daytona is located at 456 Brentwood Drive in Daytona Beach, Fla. 

For more information, please contact

 Ari Ravi

Regional Manager,

 Tampa, FL

(813) 387-4700