OCEANSIDE, CA-TruAmerica Multifamily, a Los Angeles-based investment firm led by industry veteran Robert E. Hart and the Guardian Life Insurance Co. of America, have acquired the 221-unit Piazza D'Oro multifamily complex in this San Diego suburb for $81 million, GlobeSt.com has learned exclusively. The purchase represents the first acquisition for TruAmerica Multifamily.
“Piazza D'Oro is a class A project that was built as condominiums during the economic downturn a few years ago,” says Hart. “It is the highest quality asset in the submarket and benefits from terrific visibility as it sits just North of the 78 freeway in North San Diego County.” Along with townhomes, the property also includes approximately 17,000 square feet of leasable office space.
Hart says TruAmerica was able to secure a fixed-rate loan at 3.85% for seven years through Cornerstone Real Estate Advisory Inc. “Given its proximity to the freeway, residents have easy access to major employment centers in the area,” he adds. “The purchase of Piazza D'Oro provides a strong going-in investment yield in a market that still has a lot of growth ahead of it. The potential condominium exit is also attractive.”
Kevin Mulhern, Dixie Hall, Rachel Parsons and Tyler Anderson of the CBRE Multi-Housing Investment Properties group represented the seller, Piazza D'Oro, LLC, a joint venture of ConAm Group and Kayne Anderson Capital Advisors. Bill Chiles and Scott Peterson of the CBRE Debt & Equity Finance Group arranged $50.5 million in financing, which carries a loan-to-value ratio of 63%.
Capitalizing on the three-year-old property's prime location, TruAmerica will aggressively market the townhomes to prospective tenants in major nearby employment centers. Oceanside and nearby Carlsbad are home to numerous headquarters for global golf product, pharmaceutical and healthcare companies. Tri-City Medical Center, the largest hospital in North San Diego County, is also just over a mile away.
Launched this past July and focusing on the West Coast, TruAmerica Multifamily intends to build a portfolio of $1 billion in assets by 2016. GlobeSt.com will run a Q&A with Robert E. Hart soon.
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