Realty Center, Hanover Plan Repositionings

In the Hanover Financial transaction, Hanover Real Estate FundLLC, an affiliate of Hanover Financial Co. and Cypress Equity Investments LLC,purchased a garden apartment project called Variel Court Apartments at 8305-8325Variel Ave., at the Northwest corner of Variel and Roscoe Boulevard in Canoga Park,from a Los Angeles area private investor.

The Hanover-Cypress LLC is a joint venture that will rehabilitate the complex overa 12-month period. Cypress will oversee the management and repositioning of theproject, which features one- and two-bedroom units in three 24-unit buildings, eachwith its own pool. The renovation will include a new roof for the complex, which wasdeveloped in 1963. The project represents the second joint venture between Hanoverand Cypress, which earlier this year acquired the 88-unit Basque Manor ApartmentComplex in Fullerton.

Cypress Equity Investments LLC, based in Los Angeles, specializes in acquisition,rehabilitation and development, with a portfolio of more than 1,500 Southern California,units valued at more than $125 million. Hanover Financial Co. is the managing partnerof Hanover Real Estate Fund LLC, a joint venture real estate equity fund. Through bothacquisition and development, Hanover has acquired approximately $750 million in realestate assets situated primarily in Southern California, with the balance located in theWestern United States. Other funds managed by Hanover include Hanover MezzaninePlus and Hanover/Babson Equity Investor Fund.