432-Unit Project Gets $40 Mil Capitalization

HOUSTON-The Estates at Memorial Heights edges closer to reality with a $40-million capitalization that has been arranged by L.J. Melody & Co., based here. Construction is scheduled to begin before year’s end on the 432-unit, class-A property situated in an in-fill area in the Memorial Heights area near Downtown Houston.

L.J. Melody’s Houston office has arranged the venture on behalf of the Morgan Group. Melody is a national real estate investment banking firm and a CB Richard Ellis company. Funding has been provided by Denver-based Amstar Group Ltd., a private national real estate investment company that owns a diversified portfolio of properties valued in excess of $700 million.

The transaction establishes Amstar’s presence in the Houston market. The Estates at Memorial Heights is the most recent addition to the company’s multifamily portfolio.During the past two years, Melody has arranged $13 billion in commercial real estate transactions nationwide via offices in 33 major metropolitan markets and maintains a servicing and asset management portfolio totaling $15 billion.