LNR Gets About $5M for 229 Foreclosed Units

Buying as Granite Redevelopment Properties LP, Tim Gillean outmaneuvered eight others for a recently renovated Canyon Creek Village at 3130 Lombardy Lane, which was foreclosed upon six months by Miami Beach-based LNR Partners Inc., Peter Hartnett, senior investment adviser in Dallas for Hendricks & Partners, tells GlobeSt.com. "It. was extensively renovated," he says. "Every unit was in working order and rentable at the time of closing." The 15-building asset on 8.72 acres was marketed for $5.95 million; its Dallas County assessment is $5.46 million.

Gillean, holding true to his MO, will be changing the name, doing additional upgrades and sliding in his own management company in a re-branding campaign to lift occupancy, according to Hartnett. "He will have that place ship-shape in six months," he adds. "He's a terrific owner and a great buyer. It needs very, very little work, but knowing Tim, he will be adding first-class touches. It will be a homerun."

Hartnett teamed with Hendricks' senior investment advisers Tom Warren and Tom Burns to close the deal, which went full circle in 50 days. Gillean gained the upper hand because "he went firm with a quarter of a million dollars on Day 1," Hartnett says. Patrick Brown of Colonial Bank in Dallas arranged financing.

Positioned near Bachman Lake, Canyon Creek was developed in 1979. It is a mix of one- and two-bedroom units, ranging from 603 sf to 1,010 sf. One-quarter of the units are townhouses. Rents go from $460 to $675 per month.