Security Houses and an affiliate of Rockwood Cash have expanded their Western U.S. footprint with the off-market place acquisition of two belongings in Oregon and a person in Colorado totaling 938 models.
The companies did not disclose the seller of the portfolio or the selling prices paid for the assets—The Ardea, a 323-unit Course A superior-increase found in Portland, Ore. Windward, a 200-unit Course A+ skipped-use task in Lake Oswego, Ore. and The Metro, a 415-device Course A- asset in Denver. Nevertheless, Yardi Matrix lists the most latest operator of the two The Ardea and The Metro as Multi-Employer Home Trust (MEPT), a BentallGreenOak fund that is an open-stop commingled serious estate equity fund investing in a diversified core portfolio of institutional-high quality authentic estate belongings in the United States.
In November 2015, MEPT entered into a joint venture with PHK Growth Inc. to create the $103 million Windward undertaking in Lake Oswego. In addition to the 200 flats, the asset has about 36,500 square toes of retail room.
Davis Vaughn, senior director at Safety Qualities, called the portfolio transaction one particular of the most fascinating acquisitions in the company’s 50-additionally year background. He reported in a prepared assertion that off-marketplace acquisitions of this scale are rare, specifically thinking about the good quality of the belongings. Vaughn said Windward was the leading suburban asset in the overall Portland MSA. He observed the partnership obtained The Ardea at a foundation noticeably down below substitute charge and stated The Metro was a effectively-located urban asset that was poised to capitalize on Denver’s continued development.
Matthew Friedman, a Rockwood Capital running director, also called the properties substantial-high quality property and claimed they match with the New York-primarily based true estate investment administration firm’s investment decision thesis of buying belongings that occupy strategic areas within just their markets. Friedman reported in ready remarks the attributes are positioned in the firm’s focus on marketplaces and all provide tenants obtain to out of doors facilities, retail selections and proximity to employment facilities.
The portfolio will be managed by Safety Qualities Residential, an affiliate of Safety Houses.
The Ardea is situated at 3720 SW Bond Ave. in the South Waterfront neighborhood in Portland, a freshly formulated location together the west financial institution of the Willamette River. Located about 10 minutes south of Portland’s Central Enterprise District, the location is anchored by the city’s biggest employer, Oregon Well being and Science College. Crafted in 2008 by Gerding Edlen Enhancement, the 30-story making was bought to MEPT in August 2008 by Gerding Edlen for $145 million, or $448,916 per device, according to Yardi Matrix facts. The assets has occupancy of just about 93 percent and residences ranging from studios and 1- and two-bedrooms to penthouses. Rents range from $1,492 to $5,051 with an typical of $2,202, Yardi Matrix noted. The Ardea has 17,000 sq. toes of retail room.
Windward is positioned at 130 A Ave. in downtown Lake Oswego, the zip code with the highest median revenue in Oregon. Windward is an award-profitable job finished in 2018. Amid the several accolades the 2.1-acre, three-developing task gained was a Gold award in the Improvement & Style and design: Lower-Rise category of the MHN 2018 Excellence Awards. Designed by PHK Advancement Inc. and built by ZGF Architects, the venture was praised for its “successful integration into the surrounding neighborhood” and for recreating a village centre feel. The multifamily part of the assets has occupancy of about 91 per cent. Residences range from studios to penthouses and feature rents ranging from $1,800 $6,578 with an average of $3,183, according to Yardi Matrix information.
The Metro is positioned at 2121 Delgany St. and was concluded in 2003. MEPT acquired the asset from CBRE World Traders in November 2012 for $90.8 million, or $218,795 for every sq. foot. Prior entrepreneurs include DWS and Lincoln Property Co. The assets has 6 properties on 5.7 acres and occupancy of about 92.3 percent. Positioned in the Ball Park neighborhood, The Metro supplies citizens with hassle-free entry to the downtown core. It is inside strolling length of Union Station, the central hub of Denver’s regional transit procedure. The asset has effectiveness, 1-, two- and 3-bedroom models with rents ranging from $1,288 to $4,494 with an regular of $1,855, according to Yardi Matrix facts.
Protection Attributes and Rockwood Cash have teamed up on earlier multifamily investments. In May 2019, a joint venture involving the two firms obtained Taluswood, a 512-device apartment community in Mountlake Terrace, Clean. One of the biggest garden-style apartment complexes north of Seattle, the home has easy obtain to work hubs in Everett, Wash., and Seattle as perfectly as the East Side’s superior-tech corridor.
Extra not too long ago, in October, Rockwood Money marketed MetroPointe Apartments, a 415-unit neighborhood in Tempe, Ariz., to Cortland for $96.8 million. Rockwood had obtained the property from Stability Properties in July 2018 for $76 million.