Firm Capital American Realty Partners & Avid Realty Partners Acquire Multifamily Property in Houston, TX

Announces joint venture acquisition of 235-unit Multifamily Property in Houston, TX; High in-place Cap-Rate, attractive purchase price, and Value-Add strategy should combine to deliver robust risk-managed investment returns.
By: Avid Realty Partners LLC, Firm Capital
We recently acquired The Broadmoor Apartments; A nice place to live
We recently acquired The Broadmoor Apartments; A nice place to live
NEW YORK - March 5, 2018 - PRLog -- Firm Capital American Realty Partners Corp. (FCA.U) and Avid Realty Partners LLC today announce they have formed a Joint Venture partnership and successfully acquired The Broadmoor Apartments in Houston, TX. The Broadmoor is a 235-unit value add property built in 1982 and located in the southwest corridor of Houston. Craig Berger, Managing Member of the Joint Venture said, "We were able to acquire this property at an attractive price per foot and price per door, and with a high in-place cap-rate above 7.0%. Further, we are positive on Houston as an investment market given its strong population growth trajectory, limited new construction supply, and reduced housing stock in the wake of Hurricane Harvey. These factors lead us to believe this project will deliver strong cash flow yields and robust risk-adjusted investor returns." The Joint Venture plans on investing more than $1.3 million into property renovations to drive a value-add strategy.

Firm Capital American Realty Partners Corp., led by President & CEO Kursat Kacira, brought 80% of the project's equity, including a tranche of fixed-rate equity that acts like preferred debt with no upside profit participation, thereby enhancing Investor IRR metrics. Mr. Kacira said, "We are pleased with the economics of this deal and the seasoned team running the property, and we expect to place more capital in key growth markets in 2018." Avid Realty Partners LLC sourced the deal and brought 20% of the equity capital to the project. Avid Realty Partners LLC was assisted with its portion of the transaction by Eclipse Capital Partners LLC's Kent Piotrkowski and Tasmanian Investments LLC's Mark Kuster. Institutional Property Advisors was the brokerage firm that listed the property for sale. South Street Real Estate assisted in placing the Fannie Mae debt through Hunt Mortgage Group. Importantly, the Joint Venture has engaged Roscoe Properties ( as its independent third party management team. Roscoe Properties has a strong track record of growth in its core markets, and intensive, hands on management of its properties.

Firm Capital American Realty Partners Corp. is focused on acquiring income producing U.S. real estate assets in major cities across the United States. Acquisitions are completed solely by the Company or in Joint Venture partnership with local industry expert partners who retain property management

Avid Realty Partners LLC is passionate about owning Multifamily Apartments and Hotels that deliver the best possible Customer Experience, while generating robust risk-managed returns to its Investors. In Multifamily apartments, Avid focuses on Class B/C value-add properties in growth markets around the country where they proudly bring enhanced unit upgrades and property renovations to its Residents, with a focus on improving Quality of Life metrics. Avid Realty Partners has additional deals in the pipeline that it expects to close in 2018.

Avid Realty Partners - Founder & CEO Craig Berger
+1 (314) 495-6665

Source:Avid Realty Partners LLC, Firm Capital
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Tags:Multifamily Apartments, Firm Capital, Avid Realty Partners
Industry:Real Estate
Location:New York City - New York - United States
Subject:Joint Ventures
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