X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

(To read more on the debt and equity markets, click here.)

LAKE FOREST, CA-Advanced Real Estate Services Inc. has consolidated debt and generated cash for future acquisitions with a $46.5-million refinancing that was arranged by NorthMarq Capital Inc. The refinanced portfolio consists of 429 apartment units in three complexes in Orange and Los Angeles counties.Michael T. Elmore, an SVP in NorthMarq’s Los Angeles office who arranged the funding, says the permanent financing features terms that include an average interest rate of 5.29%, a 10-year term and 30-year amortization. The 429 units comprise more than 375,000 net rentable sf situated on more than 18 acres. All three of the complexes offer a variety of floor plans that range from studio to three-bedroom units. According to Richard J. Julian, president of Advanced Real Estate Services, the financing deal has generated $26 million in cash which Advanced plans to leverage into the acquisition of multifamily properties valued at $100 million. The newly generated cash will be combined with existing investor funds, Julian says.Advanced, which holds approximately 4,500 units in Southern California, hopes to grow that number to 6,000 units over the next two years, Julian says. As Julian has explained to GlobeSt.com in past interviews, 26-year-old Advanced Real Estate Services typically buys properties of 100 units and larger, but the company also considers complexes in the 50-unit range if they are close to one of its existing properties.Advanced typically is a long-term, buy-and-hold investor, even when it acquires value-added properties that require extensive renovations. However, the company, which also manages its own holdings, does sell assets occasionally.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 3 free articles* across the ALM subscription network every 30 days
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2020 ALM Media Properties, LLC. All Rights Reserved.