Friday, June 7, 2019

Raintree Partners Acquires Portfolio of Seven Multifamily Properties Totaling 231 Units in Glendale, CA for $79 Million

Part of  Raintree Partners' Seven-Multifamily Property Indie Collection in Glendale, CA
                GLENDALE, CA –  an Orange County, California-based private commercial real estate investment company, has acquired a portfolio of seven multifamily properties totaling 231 units located in the Los Angeles submarket of Glendale, California for $79 million.

Alex Mogharabi
Alex Mogharebi and Otto Ozen of The Mogharebi Group represented the seller in this transaction. Wells Fargo provided the acquisition financing.

The acquisition is aligned with the firm’s investment strategy to assemble portfolios of smaller multifamily properties in submarkets of Los Angeles and other urban California locations, according to Ian Couwenberg, Director of Acquisitions for Raintree Partners.

“Over the past several years, we’ve successfully amassed economies of scale in select submarkets through targeting multifamily properties under 100 units,” explains Couwenberg.

 “This has allowed us to optimize management efficiency and build a portfolio of properties in the best urban submarkets of Los Angeles, which we could not penetrate by focusing exclusively on larger assets.”

Otto Ozen
Based on its successful implementation of the sub-100-unit investment strategy in Los Angeles, Raintree plans to roll out the same program in similar major California markets including Orange County, San Diego, and the Bay Area, according to Raintree’s Acquisitions Associate, Matt Barbiasz.

In its newly acquired Glendale properties, Raintree Partners will implement a comprehensive value-add renovation plan across the portfolio, which will include addressing deferred maintenance; upgrading exteriors, amenity areas, and unit interiors; and installing new washer-dryers at select properties.

In conjunction with the upgrades, the firm will rebrand and operate the seven properties as The Indie Collection, establishing a strong identity within the local community and enhancing resident appeal, notes Barbiasz.

Matt Barbiasz
“The city of Glendale continues to demonstrate strong market fundamentals, resulting in an influx of investment capital and new apartment deliveries in recent years,” says Barbiasz.

“The continued growth of Downtown Glendale, along with its proximity to major job centers in Downtown Los Angeles, Burbank and Pasadena make this a market that is well suited to Raintree’s localized and long-term hold investment program.”

The seven Glendale multifamily properties were acquired from a single private seller who had owned the assets for over many years. The properties include:

·      Stanley Oaks Apartments, an 80-unit community located at 1435 Stanley Avenue
·      Everett Apartments, an 8-unit community located at 138 N. Everett Street
·      Wilson Apartments, a 14-unit community located at 1458-1462 E. Wilson Avenue
·      Justin Oaks Apartments, a 54-unit community located at 1133 Justin Avenue
·      Chestnut Apartments, a 33-unit community located at 120 W. Chestnut Street

Iam Couwenberg
·      Galleria Pointe Apartments, a 22-unit community located at 1140 N. Columbus Avenue
·      Burchett Apartments, a 20-unit community located at 314-320 W. Burchett Street


Elisabeth Manville/Jenn Quader
Brower Group
(949) 438-6262

Passco Cos. Expands Texas Portfolio with Acquisition of 380-Unit, Class A+ Multifamily Asset in San Antonio, TX

Tribute at the Rim, a 380-unit, Class A+ luxury apartment community located at 5810 Worth Parkway in San Antonio, TX

 San Antonio, TX — Passco Companies, a privately held California-based commercial real estate company that specializes in acquisition, development, and property and asset management throughout the U.S., has acquired Tribute at the Rim, a 380-unit, Class A+ luxury apartment community in San Antonio, Texas.

Jake Niles
Tribute at the Rim, constructed in 2017, is located at 5810 Worth Parkway in San Antonio, Texas. 

Chris Black and Caleb Marten of KeyBank Real Estate Capital’s Commercial Mortgage Group arranged acquisition financing on behalf of Passco Companies.

JLL represented the seller, Kairoi Development, on the disposition, which was led by Managing Director Scott Lamontagne and Executive Vice Presidents Moses Siller and Zar Haro.

“Tribute is among the most iconic multifamily assets in San Antonio and easily the most walkable,” says Lamontagne, noting that the community is located in the city’s most dynamic submarket.

Scott Lamontague
 “JLL was thrilled to represent the seller and help bring Passco into the San Antonio market with such a marquee transaction.”

With San Antonio ranking among the top two cities in the United States forpopulation growth for the past two years, this asset is an ideal complement to Passco’s existing portfolio, in line with the firm’s strategy to acquire Class A, core multifamily properties in markets with strong growth fundamentals, according to Jake Niles, Director of Acquisitions – West at Passco Companies.

 “Tribute at the Rim will continue to benefit from San Antonio’s strong job and population growth, as well as its unmatched positioning within the heart of The Rim, a master-planned ‘live, work, play’ community that includes the largest retail power center in Texas,” explains Niles.

Moses Siller
“This location offers residents exceptional walkability, with convenient access to over 110 restaurants, premier shops, big box retailers, and services.”

Tribute at the Rim is also located in close proximity to Interstate 10 and Loop 1604, providing residents with ease-of-access to San Antonio’s two main employment hubs, the Northwest/Far Northwest and North Central/Far North Central office submarkets.

These two submarkets combined account for over 60 percent of San Antonio’s Class A office space, notes Niles.

“This property offers employees a short and convenient commute to several of San Antonio’s top companies, including Valero Energy, NuStar Energy, and USAA, which are all headquartered in the city,” says Niles.

Chris Black
“Further, the South Texas Medical Center, one of the largest employment hubs in the region, is located just seven miles from Tribute at the Rim.

The Medical Center currently employs more than 56,000 professionals and holds 290 acres of land for future development, which will drive increased demand for multifamily down the line.”

According to Niles, the community offers upscale, urban-style living well-aligned with its location in Northwest San Antonio, one of the city’s most affluent submarkets.

Niles also explains that while there was an uptick in multifamily construction in response to the recent population boom, there is little new supply currently in the pipeline despite sustained demand, and low potential for more competition in the immediate area.

Caleb Marten
 “Tribute at the Rim, due to its luxury amenities and exceptional location, overwhelmingly attracts renters-by-choice who enjoy the urban lifestyle and comprehensive resources that the community provides,” continues Niles.

“The property is also within an exceptional school system, the Northside Independent School District, further increasing its appeal to prospective residents.”

Competitive community features include an infinity pool with fire pit, a fourth-floor sky lounge, a 24-hour health club facility, virtual fitness-on-demand classes, a convenient parking garage, multiple elevators, a bark park and dog grooming station, package concierge services, a bike storage and repair room, and an electric car charging station.

Zar Haro
Tribute at the Rim also has a community backyard with hammocks and grills, a conference room, a community room, and several other meeting spaces and social areas.

The community offers units with a range of one-, two-, and three-bedroom floorplans that include polished chrome hardware and fixtures, walk-in showers, walk-in closets with built-in wood shelving, USB ports, and NEST thermostats. 

The kitchens are furnished with quartz countertops, modern high-gloss cabinetry, ceramic-top ranges, glass backsplashes, Moen gooseneck pull-down faucets, and refrigerators with water and ice dispensers.


Micaela Fehrenbach / Elisabeth Manville
Brower Group
(949) 438-6262