According to Raintree CEO Jeffrey B. Allen, who founded Raintree in December 2007, the company has significant additional capital available for acquisitions and has the capability of closing despite the current challenging market conditions. Aaron Hancock, the company's directgor of acquisitions, adds that Raintree is looking for opportunities in infill locations near major employment centers and is targeting acquisitions and development opportunities in the range of $10 million to $100 million.
According to Allen, Raintree found the Mountain View Apartments to be attractive because of the property's location in a quality community with a good public school system and easy freeway access to nearby employment and colleges. He notes that more than 90,000 jobs and five colleges serving more than 70,000 students are within eight miles of the property. Furthermore, "there is a terrific opportunity for us to add value to this asset through a future interior and exterior renovation program," Allen says.
The Mountain View Apartments are at the intersection of the 10, 57 and 210 freeways. A planned extension of the Metro Gold Line light rail system includes a station one-half mile from the apartment complex, where amenities include a fitness center, a swimming pool with a spa and wading pool, a renovated clubhouse and covered parking.
The seller of the Mountain View complex was represented by Sean Deasy of CB Richard Ellis. Financing for the acquisition was provided through Fannie Mae. Raintree's previous acquisition this year was the 204-unit Trellis Square Apartments in the Northern California community of Sunnyvale for $38.25 million.
Shortly after Allen formed Raintree to pursue multifamily acquisition, development and redevelopment opportunities, the firm secured a $200 million equity commitment from a major institutional investment management company. Allen has more than 30 years of real estate experience including development, investment and management responsibilities.
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