HFF secures financing totaling $100.65 million for Class A multi-housing development in Honolulu area

7000 Hawaii Kai multi-housing development, Hawaii Kai, southeast of Honolulu

Aldon Cole

SAN DIEGO, CA – HFF announced today that it has secured financing totaling $100.65 million for the development of 7000 Hawaii Kai, a 269-unit, Class A multi-housing complex southeast of Honolulu, Hawaii, in the community of Hawaii Kai. 

                HFF worked exclusively on behalf of a subsidiary of Hanwha America Development LLC, the US real estate arm of Hanwha Engineering Construction Corp, Korea, and its development partner, Avalon Development, to secure construction financing totaling $100.65 million by structuring a first lien loan in conjunction with a mezzanine investor. 

HFF placed a $67.25 million first lien loan with Bank of the Ozarks and also procured $33.4 million in mezzanine financing through iStar Financial, Inc. to complete the multi-housing development.

                Due for completion in summer 2016, 7000 Hawaii Kai will be situated on one of the last remaining residential development sites in the submarket, a 3.8-acre site at the intersection of Keahole Street and Hawaii Kai Drive overlooking the Hawaii Kai Marina in East Honolulu.

 The two, 10-story buildings will be comprised of a mix of one-, two- and three-bedroom units.  The property will feature community amenities, including a swimming pool, fitness center with cardio machines and yoga studio, club room with full kitchen, library, meeting room, media/performance room and business center.

                The HFF debt placement team representing the borrower was led by senior managing director Aldon Cole and director Zack Holderman. 

                “7000 Hawaii Kai is being developed at a time when market-rate and affordable housing in Hawaii is increasingly hard to come by given high land prices and a general shortage of housing.  As a result, we anticipate strong demand for this product, which is rarely delivered in Hawaii,” said Cole.

                “Through the dedication and commitment of a qualified local development team and capital partner, 7000 Hawaii Kai will provide much needed housing for this highly desirable submarket,” added Holderman. 

               

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

Olivia Hennessey

Public Relations Coordinator

HFF | 9 Greenway Plaza, Suite 700 | Houston, TX 77046

tel 713.852.3403 | fax 713.527.8725 | www.hfflp.com

ohennessey@hfflp.

$102 Million Multifamily Portfolio Sold by Marcus & Millichap in Grand Rapids, MI; Largest commercial real estate transaction recorded in Michigan so far this year.

  

Woodland Creek Apartments, Kentwood, MI

Earl E. Elliott

 GRAND RAPIDS, MI,  Dec. 8, 2014 – 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 the Grand Rapids 6 Apartment Portfolio, a 1,651-unit portfolio of six multifamily properties located in and around Grand Rapids, Mich.

The portfolio sold for $102,150,000. The sale is the largest commercial real estate transaction recorded in Michigan so far this year.

            Earl Elliott, vice president investments, and senior associates Gordon Navarre and Christopher Futo, represented the seller, as well as the buyer, a New York-based private investment firm.

            “The Grand Rapids 6 Apartment Portfolio is a true long-term investment built on Grand Rapids’ rich history of quality and family values,’ says Elliott. “All of the properties are within 15 minutes of each other and make a huge statement in the market.”

Gordon A. Navarre

            The properties sold are:

·         Woodland Creek, 756 units, Kentwood, Mich.

·         Woodbridge, 168 units, Kentwood, Mich.

·         Wyndham Hill, 192 units, Grand Rapids, Mich. 

·         Autumn Ridge, 328 units, Grand Rapids, Mich.

·         Oak Valley and Pinery Woods, 207 units, Wyoming, Mich. 

  

The Woodland Creek, Woodbridge, and Autumn Ridge properties offer furnished apartments at daily, weekly and monthly rates.

Grand Rapids, Mich., located along the Grand River 25 miles east of Lake Michigan, is the economic and cultural heart of western Michigan. The city is the second-largest in the state.

 Major employers include Steelcase Inc., Herman Miller Inc., Spectrum Health, Johnson Controls Inc., Alticor (formerly Amway), Kellogg’s, Meijer Inc., Axios Systems, Perrigo and Farmers Insurance.

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

Gina Relva

Public Relations Manager

(925) 953-1716

HFF arranges $86 million financing for Rockpoint Group on San Mateo BayCenter in San Mateo, CA

San Mateo BayCenter,  901 and 951 Mariners Island Boulevard and 999 Baker Way
San Mateo, CA

Bruce Ganong

SAN FRANCISCO, CA – HFF announced today that it has arranged post-acquisition financing for San Mateo BayCenter, a three-building Class A office campus totaling 303,257 square feet in San Mateo, California for Rockpoint Group.

                HFF worked on behalf of the borrower to secure the floating-rate, post-acquisition financing through Wells Fargo.  HFF also handled the sale of the property, which closed in September, on behalf of Equity Office Properties.             

                Situated at the intersection of U.S. Highway 101 and Highway 92 equidistant from San Francisco and Silicon Valley, San Mateo BayCenter enjoys excellent access to retail amenities and public transportation.

 Originally built in 1987, San Mateo BayCenter is comprised of three institutionally maintained five- and seven-story office buildings located at 901 and 951 Mariners Island Boulevard and 999 Baker Way.  The campus is more than 98 percent leased to a diversified roster of tenants including Marketo, Brightedge Technologies and Actuate.

Jordan Angel

The HFF debt placement team representing the borrower was led by senior managing director Bruce Ganong, director Jordan Angel and associate Walter Chui.

“Strong occupancy, positive sub-market fundamentals, and best in class sponsorship encouraged competitive proposals from a number of lenders and Wells Fargo won the business with a flexible proposal that met the borrower’s request,” Ganong said.

The HFF investment sales team representing the seller was led by managing director Steven Golubchik, senior managing director and co-head of HFF’s national office investment sales platform Michael Leggett and director John Simerlein.

"It's one of the best products built on the 92 corridor," Golubchik said. “Interest in this vertical, urban-style project was incredibly high.  San Mateo BayCenter has plenty of parking, and some of the floors have been converted to tech-friendly ‘creative spaces’ with open floor plans.”

Steve Golubchik

Rockpoint Group, L.L.C. is a global real estate investment management firm headquartered in Boston, with additional primary offices in San Francisco and Dallas.  

Equity Office Properties is one of the largest and most well-respected commercial real estate firms in the nation, with a portfolio encompassing 70 million square feet of Class A office space under management in superior locations throughout the country.  For more information, visit www.equityoffice.com.

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

Olivia Hennessey

Public Relations Coordinator

HFF | 9 Greenway Plaza, Suite 700 | Houston, TX 77046

tel 713.852.3403 | fax 713.527.8725 | www.hfflp.com

ohennessey@hfflp.com

HFF secures $33.25 million financing for high-rise multi-housing property in Atlanta’s Buckhead neighborhood

2460 Peachtree Apartments, Buckhead Neighborhood 
Peachtree Road NW and Lindbergh Drive NE, Atlanta, GA

Stephen Skok

 CHICAGO, IL – HFF announced today that it has arranged $33.25 million in financing for 2460 Peachtree Apartments, a 19-story, 236-unit, Class A multi-housing property in Atlanta’s Buckhead neighborhood.

                Working on behalf of the borrower, an affiliate of Waterton Associates, LLC, HFF placed the seven-year loan with 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.   Loan proceeds were used to acquire the property.

                2460 Peachtree Apartments is located at the intersection of Peachtree Road NW and Lindbergh Drive NE.  Partially renovated in 2013, the property features an outdoor swimming pool with sundeck, grilling area, resident garden, fitness center, saunas, hot tub, clubroom and 24-hour doorman.  The building is 98 percent leased.

Jason Bond

The HFF debt placement team representing the borrower was led by managing director Stephen Skok, associate director Jason Bond and senior managing director Mark Sixour.

“This acquisition serves to expand Waterton’s presence in the Atlanta marketplace.  In addition to 2460 Peachtree, the firm owns five other multi-housing properties in the area totaling 1,616 units,” said Skok.

Waterton Associates, LLC is a Chicago-based investment firm specializing in the ownership and management of multifamily properties.  Waterton has participated in the acquisition, disposition and financing of apartment properties located throughout the United States.

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

Olivia Hennessey

Public Relations Coordinator

HFF | 9 Greenway Plaza, Suite 700 | Houston, TX 77046

tel 713.852.3403 | fax 713.527.8725 | www.hfflp.com

ohennessey@hfflp.com

Waterton Residential Hires Jeff Bailey as Senior Vice President

Jeff Bailey

CHICAGO, IL (Dec. 8, 2014) – Waterton Residential, the multifamily investment and management division of Chicago-based Waterton Associates LLC, has hired veteran real estate executive Jeff Bailey as senior vice president, operations, for its multifamily properties in the western United States.

In his new position, Bailey will oversee operations at 12 properties comprising approximately 4,000 units in five states.

“Jeff is known in the industry for his ability to drive performance at the community level while simultaneously shaping the successful operating strategies of some of the largest apartment owners in the country,” said Greg Lozinak, executive vice president and chief operating officer of Waterton Residential.

“His familiarity with apartment markets throughout the western U.S. will prove invaluable to Waterton as we continue to invest in the region.”

Greg Lozinak

Based in Waterton’s Southern California office, Bailey joins the firm after spending more than 20 years managing multifamily portfolios for both public and private companies.

 He most recently served as senior vice president of property operations at San Francisco-based BRE Properties Inc., where he oversaw a 15,500-unit portfolio that generated approximately 60 percent of company revenue.

 He also spearheaded recruiting at BRE and provided strategic direction relating to occupancy, pricing, and capital improvement programs.

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

Abe Tekippe, atekippe@taylorjohnson.com, (312) 267-4528

Kim Manning, kmanning@taylorjohnson.com, (312) 267-4527

SR Commercial Completes Project Cycle With $13.35 Million Sale of Vista, CA Industrial Property

2611 Business Park Drive, Vista, CA

CJ Stos

SAN DIEGO, CA (Dec. 8, 2014) – SR Commercial, a privately held, full-service commercial real estate investment company, has completed a full-cycle repositioning project in Vista, California with the $13.55 million sale of a 128,531 square-foot, Class A industrial property.

SR Commercial acquired the property in February 2013 for $79 per-square-foot and was able to sell the building for $105.50 per-square-foot after implementing its strategic rehab and repositioning plan, according to CJ Stos, a Principal at SR Commercial.

“The current investment climate requires rapid and strategic action from property owners and investors,” explains Stos, who founded SR Commercial along with partner Adam Robinson.

 “This particular project exemplifies our firm’s ability to quickly acquire and reposition properties; resulting in additional quality product for the supply-constrained Greater San Diego industrial market.” 

This single-tenant manufacturing and distribution building, which is situated on nearly ten acres of land and includes approximately one acre of outside storage, was initially constructed as a build-to-suit for Dimension One Spas in 2001.

Adam Robinson

 The property served as Dimension One’s corporate headquarters until its leaseback agreement with SR Commercial came to term in November 2013.

 “When we acquired the property, we immediately implemented exterior improvements, followed by interior enhancements after the building was vacant, which boosted the property’s appearance and functionality,” notes Stos.

“After completing all improvements in early 2014, we aggressively marketed the project and secured a buyer with help of our broker partners within seven months.”

Joe McDermott, Ron King, and Bob Willingham of Cushman & Wakefield represented SR Commercial as the seller. The buyer, KI-Vista-LPSM LLC, was represented by Colliers International.

According to Cushman & Wakefield, the buyer secured a lease during escrow with Escondido-based Stone Brewing Co. for its new national distribution center.

The property is located at 2611 Business Park Drive in Vista, California.

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

Amanda Alenick Brenner/ Jenn Quader

 Brower, Miller & Cole

(949) 955-7940

Abrenner@browermillercole.com

www.sr-commercial.com.