The joint venture with Tarragon, a mixed-use developer with afocus on for-rent and for-sale multifamily housing, adds 7,433multifamily units to Northland's portfolio, bringing its totalnumber of multifamily units to more than 21,000. The 83 propertiesare located in a dozen states, with concentrations in Florida,Connecticut, Massachusetts, North Carolina, Texas, Tennessee andArizona.

|

Northland will hold a 77.5% controlling interest in the JV,called Northland Properties LLC, and Tarragon will hold a 22.5%interest. The JV also creates a new management company to provideproperty, asset and construction management services to theportfolio. The management entity, Northland Properties ManagementLLC, will be headquartered here, with satellite offices in Hartfordand in Florida. Northland will direct the JV's investment decisionsand oversee management of the portfolio.

|

Steven Rosenthal, CEO of Northland Investment Corp. says in aprepared statement that the JV "increases our access to capital,strengthens our position in several key markets, including Floridaand Connecticut, and will provide significant growth and value addopportunities." He further notes that the company anticipates usingthis platform to further advance growth plans.

|

Northland has also agreed to provide Tarragon with a $50 millionloan commitment. If drawn by Tarragon, the loan would be a seniorsecured two-year loan. The proceeds of the loan, in conjunctionwith additional cash provided by Tarragon, would be used topurchase certain of Tarragon's subordinated debt at a discount.Tarragon's minority interest in the JV will secure the loan.

Want to continue reading?
Become a Free ALM Digital Reader.

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Natalie Dolce

Natalie Dolce, editor-in-chief of GlobeSt.com and GlobeSt. Real Estate Forum, is responsible for working with editorial staff, freelancers and senior management to help plan the overarching vision that encompasses GlobeSt.com, including short-term and long-term goals for the website, how content integrates through the company’s other product lines and the overall quality of content. Previously she served as national executive editor and editor of the West Coast region for GlobeSt.com and Real Estate Forum, and was responsible for coverage of news and information pertaining to that vital real estate region. Prior to moving out to the Southern California office, she was Northeast bureau chief, covering New York City for GlobeSt.com. Her background includes a stint at InStyle Magazine, and as managing editor with New York Press, an alternative weekly New York City paper. In her career, she has also covered a variety of beats for M magazine, Arthur Frommer's Budget Travel, FashionLedge.com, and Co-Ed magazine. Dolce has also freelanced for a number of publications, including MSNBC.com and Museums New York magazine.