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Friday, 13 January 2012

UDR/MetLife Venture Pays $630Mln for Manhattan Apartments

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A venture of UDR Inc. and MetLife paid a partnership of Chetrit Group and Stellar Management $630 million, or $887,324/unit, for the 710-unit Columbus Square multifamily complex on Manhattan's Upper West Side.

The apartment property consists of four buildings at 775, 795, 805 and 808 Columbus Ave., about a block from Central Park, and a fifth at 801 Amsterdam Ave. that sits one block from the other buildings.

The apartments are 95.6 percent occupied and generate $3,924/unit of average rent, with a range of $3,148/unit at the Amsterdam building to $4,223/unit at 808 Columbus. Those two properties were built in 2009, while construction of the other three was completed last year.

The complex also includes 400,000 square feet of retail space, along with 392 parking spaces that were not included in the sale. Eastdil Secured arranged the deal.

UDR, a Denver REIT, said the acquisition is being partly funded by $302.3 million of Fannie Mae debt with an average rate of 3.8 percent. About $266 million of that debt carries a fixed rate of 3.9 percent and a 10-year term. The rest has a floating rate.

The buying venture, known as UDR/MetLife II, was seeded with seven multifamily buildings with 1,818 units in four states that were contributed by a separate venture of the two companies, UDR/MetLife I. The new venture assumed $363 million of debt backed by seven of the properties being contributed. That debt, combined with the new Fannie debt, has an average rate of 4.2 percent and term of nine years.

The contributed portfolio consists of the 259-unit Ashton Austin in Austin, Texas; the 290-unit Domus in Philadelphia, and two properties in Bellevue, Wash.: Ten20 with 129 units and Ashton Bellevue, with 202 units. Also included are the following Massachusetts complexes: the 350-unit Charles River Landing in Needham; Lenox Farms, with 338 units in Braintree, and the 250-unit Lodge at Foxborough.

UDR says the combined value of the seven contributed properties, along with Columbus Square is $1.3 billion.

It is an equal partner with MetLife in the venture, which will pay the REIT fees for asset and property management of its portfolio.

Comments? E-mail John Covaleski or call him at (267) 247-0112, Ext. 208.



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Additional Info

  • Syndicate to Realpoint: No
  • Cities: New York City
  • States: New York
  • Sector: Multifamily
  • Subject: Property Acquisitions (ACQ)
  • Company: Urstadt Biddle Properties Inc.
  • Valuation: More than $150 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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