LOS ANGELES, CA – TruAmerica Multifamily has sold four apartment communities located in the Seattle and San Francisco Bay Area markets for $275 million, capping an active fourth quarter in which the Los Angeles-based investment firm closed on transactions totaling $675 million.

The four apartment communities with a combined 1,047 units were among TruAmerica’s first investments after industry veteran Robert Hart founded the firm with The Guardian Life Insurance Company of America in 2013. Proceeds from the four separate dispositions exceeded investor targets and averaged double-digit cash-on-cash returns over three-year hold periods adding to TruAmerica’s already impressive track record for its investors.

In November 2015, TruAmerica exited its first investment, a 564-unit apartment community in Denver, CO, after meeting its five-year investment objectives in just 18 months.

TruAmerica has earned a reputation as one of the most active multifamily investors in the United States, building a $6.3 billion portfolio in less than three years from inception.  The institutional investment community has taken notice that TruAmerica can skillfully assemble a portfolio of apartment communities and expertly do a value-add business plot, according to TruAmerica CEO and founder Robert Hart.

“With more than 31,000 apartment units under management, the process of opportunistically exiting investments to deliver strong risk-adjusted returns to investors, and concurrently identify new value-add opportunities, must be disciplined, patient and precise,” said Hart.  “Our team has done a masterful job of building a portfolio of strategically located assets in key growth markets throughout the United States.  Through our vertically integrated platform that also includes in-house construction and asset management, we have been able to reposition these underperforming assets through thoughtful renovation and improved operations.   With these timely dispositions, we now have been able to place points on the board and deliver impressive returns to our investors in the form of durable cash-flow yield and asset appreciation.”

“Our circle of partners continues to expand, along with their interest in investing with us on more opportunities,” stated, Robert LoCascio, Managing Director of Guardian’s Real Estate Investment Group. “This is testimony not just to the continuing viability of the sector as an investment class, but to Bob and his team’s experience as an operating partner and expertise to implement a well thought-out business plot.”

The following assets were recently sold by TruAmerica:

Arcadia Luxury Townhomes, a 309-unit property in Federal Way, WA to a private multifamily investment firm; The Vineyards, a 170-unit property in Gilroy, CA to ABL Properties; Avenel Apartments, a 168-unit community in San Jose, CA to Pacific Urban Residential; and Carriages at Fairwood Downs, a 400-unit townhome community in Renton, WA to Sequoia Equities.

TruAmerica Multifamily also remained an active buyer in the fourth quarter, acquiring more than 2,500 units in three separate markets in transactions totaling more than $400 million.    The acquisitions included a 1,402-unit, six-property multifamily portfolio in suburban Baltimore, MD, for $236 million, TruAmerica’s second significant investment on the East Coast.  It also marked TruAmerica’s first joint venture with publicly traded Ares Management (ARES). 

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ORLANDO, FL – RealtyShares announced that its community of investors has raised $2.25 million to recapitalize and fund the renovation of Avesta Bridgewater, a 344-unit apartment community in Orlando, Florida.

The deal is sponsored by Avesta Communities, a vertically-integrated multifamily owner-operator specializing in apartments serving the middle-income renter. They recently bought the property below its appraised value and plot to perform renovations that will allow it to compete with higher end properties in the local market.

“We are excited to partner with RealtyShares in our first crowdfunding project,” said Andre Gonzalez of Avesta. “We reckon crowdfunding is an industry with significant long-term growth potential, and Avesta is committed to growing our base of capital partners through this new vertical. RealtyShares’ ability to serve as the intermediary between sponsors and investors maximizes efficiency, and allows Avesta to focus on adding value to our communities and capital partners.”

Per Avesta, the newest acquisition will be a sizable addition to their 1,000+ unit Orlando portfolio, located in one of the largest and fastest growing metropolitan areas in America. Avesta Communities report acquiring 12,000 apartments worth nearly $1 billion across Florida and Texas since the company was founded in 2010.

“With the flexibility to raise minor, non-controlling equity interest in deals like Bridgewater, RealtyShares demonstrates value to deal sponsors looking to supplement their capital relationships,” said Bryan Schultz, Vice President of Equity Investments at RealtyShares. “In addition, it makes value for the private investment community by providing access to deals that are typically reserved for institutional investors. It’s a pleasure to be able to offer an opportunity to invest with a partner as established as Avesta.”

To date, the RealtyShares network of investors has funded upwards of $200 million across more than 400 investment opportunities on the platform, funding residential and commercial projects in 31 states.

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HOUSTON, TX – The NHP Foundation, the national affordable housing not-for-profit, welcomed city and state officials to an event showcasing renovations to-date at Cleme Manor Apartments, the largest multi-family housing community in the historic Greater Fifth Ward neighborhood in Houston. The NHP Foundation received $40.9 million in funding to place toward rehabilitating the 284-unit apartment complex which it bought in 2014 via a public-private financial partnership with PNC Bank N.A., BBVA Compass, the U.S. Department of Housing and Urban Development (HUD), the National Affordable Housing Trust, the Texas Department of Housing and Community Affairs and the City of Houston.

Originally constructed in 1970, Cleme Manor Apartments sits immediately south of Finnegan Park and the Finnegan Park Community Center. The property features 25 two-tale buildings with capacity for approximately 1,400 residents. NHPF is undertaking a massive rehabilitation of the property – which has not seen a comprehensive renovation in over 20 years – including: the installation of new drywall, Energy Star appliances, doors, higher efficiency HVAC units and water heaters, windows, water savings improvements, and more. In addition, construction of a new play area, tot lot, and renovation of the office, community space and laundry facilities are underway.  

One of Houston’s most improved areas, the Greater Fifth Ward Finnegan Park neighborhood has been earmarked for $35 million in streetscape improvement, multifamily construction, single family rehabilitation and renovation of the Community Center. Cleme Manor Apartments is an integral part of the revitalization of the community. In 2014, the acquisition and plotted rehabilitation of Cleme Manor played a major role in keeping officials from closing nearby Henderson Elementary, ensuring neighborhood children could attend a school close to home.

“This project supports my goal of building complete communities where residents can find excellent jobs, safe and attractive homes, and all of the amenities necessary for a fantastic quality of life,” said Houston Mayor Sylvester Turner. “The Greater Fifth Ward is one our most historic neighborhoods.  Restoring health to this traditionally underserved area will have a tremendous impact on the people living there.”

“Cleme Manor is a one-of-a-kind opportunity for NHPF,” said NHPF’s President and CEO Richard Burns. “Because of its scale, unique needs and the impending aesthetic changes and updates to the neighborhood, Cleme Manor has provided NHPF with an unusually robust chance to ‘get in on the ground-floor’ and play an essential part in the early stages of an exciting neighborhood revitalization. We are excited and grateful to have this opportunity to deliver a sustainably improved living environment for the residents of Cleme Manor Apartments and additional high-quality affordable housing for the city of Houston.”

In addition to Mayor Turner, other officials and guests expected to attend include Tom McCasland, Director, Housing & Community Development Department, Houston; Congresswoman Sheila Jackson Lee; Dr. Edward Pringle, Director, Houston U.S. Housing & Urban Development (HUD) Office; Betty Gregory, Texas Organizing Project (TOP) Harris County Leadership Board;  Kathy Blueford-Daniels, President, Greater Fifth Ward, Super Neighborhood #55; Mark Montgomery, CEO, BBVA Compass, Houston; Grant Murray, Representative from U.S. Senator Ted Cruz’s office, as well as additional city, state and community leaders. 

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