Passco Companies Sells Remaining Interests in Class A 360-Unit Apartment Community in Kansas City Submarket for $48 Million

Village at Lionsdgate, Overland Park, KS

OVERLAND PARK, KS –  Passco Companies, LLC, a privately held Calif.-based real estate company that specializes in the investment, acquisition, development and management of commercial properties throughout the U.S., has sold The Village at Lionsgate, a 360-unit apartment community in the Kansas City submarket of Overland Park, Kansas.

Alan Clifton

 The buyer, a real estate investment firm that already owned a portion of interest in the asset, purchased the remaining interests in the property for a net sale price of $48 million.

Passco brought the asset full cycle after a nearly ten-year hold period, according to Passco’s Chief Operating Officer, Alan Clifton.

            “The sale of this asset demonstrates the success of our long-term hold strategy,” says Clifton. “We initially acquired the asset prior to the recession, successfully operated it as cash flow positive throughout the downturn, and sold it, achieving returns that were within our initial projections.”

The sale of this asset was also timed to capitalize on strong investor interest in the region, according to Clifton.

“The Kansas City metro is one of the most sought-after emerging markets in the Midwest,” he says.

During ownership, Passco brought the average occupancy at the property up to approximately 95-percent and achieved steady net effective rent growth.

 “Our ability to recognize the potential and anticipated growth in this market early on allowed us to strategically lease the property and operate it with strong occupancy throughout our entire hold period,” says Clifton. “This also created the opportunity to strategically enhance the value of the asset and generated projected yields to our investors.”

Mac Crowther

Passco continues to actively acquire investment properties throughout the U.S. The firm currently has more than $2 billion in assets under management.

“Our strategy has always been to identify, source, and acquire quality assets in emerging metros that demonstrate true value potential,” adds Clifton. 

“The sale of this asset demonstrates the success of this strategic approach and provides the opportunity for us to continue our momentum of acquiring income producing assets on behalf of our investors.”

The Village at Lionsgate is located at 14631 Broadmoor Street in Overland Park, Kansas. Mac Crowther, Vice Chairman at ARA Newmark’s Kansas City office represented both the seller and the buyer in this transaction.

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

Lauren Burgos/ Lexi Astfalk

Brower, Miller & Cole

(949) 955-7940

Lburgos@browermillercole.com