Besyata Investment Group and The Scharf Group Acquire Brookfield Apartments in Virginia Beach

VIRGINIA BEACH, VA – Besyata Investment Group and The Scharf Group, both NY-based single family offices, have bought Brookfield Apartment Homes in Virginia Beach, VA for a buy price of $37,750,000.

Drucker and Falk MultiFamily Property Management, a leading property manager of 30,000+ apartments across 10 states, will handle the day-to-day property management and leasing.

Brookfield Apartment Homes, located in the quick-growing Virginia Beach Submarket, is a 352-unit apartment community offering one of the most comprehensive amenity packages in its submarket as well as an abundance of nearby recreation, immediate proximity to Level Green Park, which offers green space, Tennis Courts and Baseball fields.

Located near the intersection of the Virginia Beach, Norfolk and Chesapeake submarkets, the community benefits from convenient immediate access to the I-64.

By capitalizing on the exterior capital improvement program implemented by previous ownership, Besyata and Scharf plot to add value to the property through gradual unit renovations in addition to amenity/common area enhancements to better compete with properties in the area.

Besyata Investment Group is focused on the acquisition and development of multifamily and commercial properties nationwide while pursuing a value-add strategy. Besyata currently owns and operates a multifamily portfolio spanning nine states, consisting of 5,000+ units.

The Scharf Group is a New York based fourth generation family office; owner, developer, and operator of a large portfolio of commercial, multifamily, healthcare & senior housing properties nationwide.

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Seattle Development Offers Luxury Apartments with Fully Integrated Smart-Home Living Experience

SEATTLE, WA – LMC, a leader in apartment development and management, announced the start of leasing at Valdok, a luxury apartment community integrated with smart-home technology in the eclectic Ballard neighborhood of northwestern Seattle.

The first phase of the seven-tale luxury development features 178 apartment homes and boasts close proximity to the hip, trendy offerings of the waterfront neighborhood. When complete, the second phase will add 164 homes to the community. Seventh-floor residents will have voice-activated control of several in-home features through Amazon’s Alexa device, making Valdok one of the first in the Seattle area to offer this collection of smart-home features. 

Among the technologies incorporated are a Ruckus Router, Lutron Pico Remote for dimming lights and controlling smart-home speakers and an Amazon Echo built in to a Sonos Play:1. Select homes will include Lutron roller shades, which can be controlled through a smartphone.

“The Ballard neighborhood is always bustling with an extremely active vibe and is the ideal backdrop for a vintage Seattle experience,” said Brad Reisinger, division president of the Pacific Northwest for LMC. “We’re excited to add to our presence in the area with Valdok, which we believe will serve as a top-tier living option with its spacious layouts, cozy ambiance and suite of smart-home features.”

Inspired by the Valdok family’s storied Scandinavian roots and heritage, the community design embraces the area’s rich Northern European history. Located at 1701 NW 56th Street, Valdok features two buildings that sit across from one another on opposite sides of 56th Street. The community is situated near a working waterfront brimming with some of Seattle’s trendiest nightlife, retail and cuisine spots. Dining options include Asadero Ballard, No Bones Beach Club, The Walrus and the Carpenter and San Fermo. Ballard is also home to the Nordic Museum, Bergen Place Park, Ballard Farmers Market, 17th of May Festival and Larsen’s Danish Bakery. 

The Ballard Bridge and 15th Avenue NW provide access to downtown, South Lake Union and many other key employment centers in Seattle’s tech-savvy and medical-rich job market. In addition, the King County Metro has five bus routes that go through Ballard, and Burke-Gilman Trail is a 20-mile trail that serves as a prime transportation corridor for commuters and recreational enthusiasts. The community is also a small distance from Ballard Locks and Golden Gardens Park. 

Valdok consists of studio, 1- and 2-bedroom apartment homes with live/work homes available, ranging from 485 to 1,206 square feet. Apartment interiors are delivered with quartz countertops, designer lighting, high-end stainless steel kitchen appliances, hardwood-style plank flooring, full-size washers and dryers, ceramic tile tub surrounds, lighted bathroom mirrors and under-cabinet lighting.   

Community amenities include a clubhouse with full kitchen and gaming area, co-working spaces with state-of-the-art technology, top-of-the-line 24-hour fitness center, pet park with dog wash and grooming stations and a rooftop deck with fireplaces, barbecue grills and outdoor lounge areas. Residents will also have access to 24-hour package service, bike storage and additional storage.

Including Valdok, LMC has four apartment communities in operation or under construction in the Seattle area. Others include Twenty20 Mad, Axle and The Bower (in Kirkland). The second phase of Valdok, currently under construction, is on pace to open in 2019.

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RED Capital Arranges $7.8 Million Loan to Convert Historic Building to Apartments in Pennsylvania

LANDISVILLE, PA – RED Capital Group recently arranged a $7.8 million construction loan for Tobacco Road apartments, an adaptive reuse of an historic building in Landisville (Lancaster County), Pennsylvania. Total project cost is $9.6 million.

The loan will be used to develop the currently vacant brick warehouse into a 66-unit apartment community. The structure, a former tobacco warehouse consisting of four connected buildings, was built in the early 1900s and is on the National Register of Historic Places. The redevelopment will take advantage of some of the historic features, including refinishing wood floors in certain areas and exposed wood beams.

The apartments will help fulfill a substantial need in the region for market-rate units. They will be developed by S. B. Conrad. The complex will include one-, two- and three-bedroom units, an elevator, lounge area and fitness center, among other amenities.

“We identified this project as a regional opportunity,” said David Bonomo, Director at RED. “We directed our efforts toward local community lenders, and we are very pleased with the results.”

“This is an exciting opportunity,” said Steve Conrad, President of S. B. Conrad. “Tobacco Road will provide high-quality rental apartments in the Lancaster area marketplace, where the demand far exceeds the supply. To do so while preserving such a meaningful local real estate asset makes it even more rewarding.”

RED acted as exclusive structuring agent, and managed the solicitation effort on behalf of S. B. Conrad. They negotiated favorable pre-payment provisions, which will allow Conrad to refinance the bank loan within two years with no prepayment penalty.

“The RED team made this happen for us,” said Conrad. “They managed the financial side of the equation, allowing us to focus on what we do best – development. RED targeted the appropriate segment of construction lenders, delivered a term sheet in a matter of days, and positioned us to close within a few weeks.”

“This effort demonstrates the full-service capabilities of RED’s team,” said Trent Brooks, President and Head of Production at RED Mortgage Capital.

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