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Thursday, 12 January 2012

San Diego Apartments Sell for $70.9Mln

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Goldrich & Kest Industries has paid $70.9 million, or $192,141/unit, for Cabrillo Springs, a 369-unit apartment property in San Diego.

The Culver City, Calif., investor purchased the 53-year-old property from Universe Holdings of Beverly Hills, Calif., which was represented by Marcus & Millichap's Institutional Property Advisors. The acquisition was the second leg of a tax-deferred property exchange.

The sales price results in a capitalization rate of 5.35 percent.

Cabrillo Springs sits on 12.5 acres at 7901 Harmarsh St. in San Diego's Serra Mesa submarket. The property could be expanded with additional units. Units have two or three bedrooms and average 999 square feet each. Roughly 80 percent of the units have been upgraded. The property includes five resort-style swimming pools, five wading pools, sundecks, a fitness center, laundry facilities, playgrounds and a picnic area.

It is next to the Sharp Medical Park and less than one mile from San Diego Mesa College.

Goldrich & Kest is expected to renovate the property's exterior and upgrade additional units.

The property is encumbered by a $40.6 million CMBS loan. It's not clear whether the buyer has assumed it.

The loan was securitized through Wachovia Bank Commercial Mortgage Trust, 2005-C17. It has a coupon of 5.57 percent and matures in February 2013.

The loan originally matured in 2010. It was extended for a year through February 2011. But it defaulted last year and was brought current last September, when its maturity was once again extended, to February 2013.

The property generated $15.5 million of net cash flow in 2010, the last year for which data are available, according to servicer data compiled by Morningstar.

Comments? E-mail Orest Mandzy, or call him at (267) 247-0112, Ext. 211.



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Additional Info

  • Syndicate to Realpoint: No
  • Cities: San Diego
  • States: California
  • Sector: Multifamily
  • Subject: Property Acquisitions (ACQ)
  • Company: Meditrust Corp.
  • Valuation: Between $50 million and $100 million
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Data Digest

 

CMBS DELINQUENCY VOLUME

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CMBS SPECIAL SERVICING VOLUME

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Top Bookrunners Domestic, Private-Label CMBS - 2017
Investment Bank #Deals Vol$mln MktShr%
Goldman Sachs 17.59 11,819.34 13.68
JPMorgan Securities 14.52 10,968.11 12.70
Citigroup 12.04 10,012.71 11.59
Wells Fargo Securities 14.02 9,936.06 11.50
Deutsche Bank 12.55 9,879.74 11.44

 

RCA CPPI

 

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CMBS 2.0 Spreads

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Top CMBS Loan Contributors - 2017
Lender #Loans Vol$mln MktShr%
Goldman Sachs 146.89 11,719.34 13.63
JPMorgan Chase Bank 117.68 10,114.14 11.76
Deutsche Bank 198.48 9,689.97 11.27
Morgan Stanley 166.18 8,539.78 9.93
Citigroup 199.05 8,088.24 9.41

 

 

 

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