The investor, based at 1038 W. Southern Ave., acquired 126 of 154 units of the Cliffbrook Condominiums at 7965 Cliffbrook Dr. in Dallas. Steve Whitehead, vice president of production in Dallas for Minneapolis-based NorthMarq Capital Inc., tells GlobeSt.com that the new owner will "cure any deferred maintenance" and complete minor renovations in the coming year.
Norman Eastwood of Marcus & Millichap's Dallas office represented the seller of record Cliffbrook Partners 1991-1 LP, which does business at various addresses in Colleyville, Euless and Coppell based on information gleaned from Dallas County tax records. Whitehead says the buyer used in-house representation to negotiate the purchase, taking out a five-year loan with 30-year amortization for 80% of the acquisition cost. Lehman Brothers of New York City provided the capital at a 5.05% interest rate, marking the second loan since April that it's cleared for the Tempe buyer.
In April, Peter J. Hartnett of Hendricks & Partners' Dallas office teamed the buyer with the 100-unit Presidents Corner at 2201 Presidents Corner Dr. in North Arlington to close a $3.3-million purchase with a $2.7-million loan for a 98%-occupied asset. At that time, the Tempe investment group was holding contracts on two more multifamily properties in Dallas-Fort Worth.
"Everyone's rates are pretty comparable so hitting the maximum loan proceeds is key to getting deals done in this economy and that has been Lehman's competitive advantage," Whitehead said in a press release. He and Richard Scandaliato, senior vice president and senior director in NorthMarq's Los Angeles office, arranged the Lehman Bros. financing.The 97%-leased Cliffbrook Condominiums, situated on about six acres, consists of 14 two-story buildings. Units average 972 sf.
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