HOUSTON-Kaplan Management Co. has taken over managementresponsibilities for three foreclosed multifamily propertiespreviously owned by New York City-based GFI Capital. The threeproperties, which total 1,375 units, include Cambridge at CityView, City View Place and Springfield at City View.

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These class C properties are the first round of GFI Capitalassets in Houston that are scheduled for foreclosure orreceivership, according to local sources. According to its website,the company owns 12 more City View-branded properties, all of whichwill be going back to the lender, sources report. GFI Capital didnot return GlobeSt’s call to discuss the distressed properties.

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CW Capital of Washington, DC foreclosed on Cambridge at CityView, City View Place and Springfield at City View in July andimmediately hired Kaplan to take over the properties, according toMichelle Rhone, Kaplan’s vice president of management. The twocompanies have worked together previously on other properties inArizona, Texas and Nevada.

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GFI Capital acquired the communities from Lincoln PropertyCompany more than five years ago. During its ownership, theproperties languished and became a haven for criminals, Rhone tellsGlobeSt. CW Capital hired Kaplan to work through the properties’distress.

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“This lender believes there is value in these assets, and theirgoal is to hold them for a minimum of two years,” Rhone says. “Weare evicting those tenants who don’t pay rent and working to createa new City View by improving the tenant profile and building acommunity.”

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Rhone says Kaplan is working with the Houston Police Departmentto open a police substation at City View Place. Moreover, thecompany has created a plan to establish a number of civic programsto serve the City Place assets including a wellness clinic,tutoring from Houston Independent School District, vocationaltraining and YMCA swimming lessons.

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Additionally, Kaplan will work with CW Capital to addressdeferred maintenance issues, Rhone says. The lender has alreadyinvested $100,000 to address immediate maintenance needs at theproperties, she adds.

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