LOS ANGELES, April 13, 2016 – TruAmerica Multifamily and an affiliate of Berkshire Group have acquired Career Lofts, a newly constructed 142-unit Class A apartment community in Laguna Niguel, CA in an off-market transaction valued at $44 million.
“The acquisition of Career Lofts at roughly $309,000 per unit is very compelling on a price per pound basis. Moreover, the purchase of this well-appointed, class A asset represents a truly unique opportunity given the high-income, underserved submarket of South Orange County,” said Greg Campbell, TruAmerica Senior Managing Director of Acquisitions. “Class A assets, especially of this quality, are not often available are particularly rare in the region. Very little product has been delivered south of Irvine in the last couple of decades, which has created pent-up demand for Class A product in cities like Laguna Niguel,” he said.
Developed by United American Properties, Career Lofts, which TruAmerica will rebrand as Skye at Laguna Niguel, is only the second institutional grade multifamily project to be constructed in the submarket in more than 20 years. Skye is located at 28100 Cabot Road along California State Route 73. It features a mix of one- and two-bedroom floor plans, resort-style swimming pool and spa, rooftop lounge and fitness center, and business center with conference facilities.
One of the most active buyers of multifamily assets in the United States, TruAmerica invests in high quality amenity-rich Class A properties in neighborhoods where homeownership is unaffordable as well as Class B properties that can be renovated to create higher quality and affordable rental units for working class families and young professionals.
The acquisition was financed with a $31.5 million in first mortgage debt from Mesa West Capital. The floating rate loan features a three-year term with extension options and was originated out of the firm’s Mesa West Core Lending Fund by Mesa West Principal Steve Fried along with Associate Seth Hall.
“Skye at Laguna Niguel gave us an excellent opportunity to finance a beautiful Class A multifamily product in a core market for a very active sponsor in TruAmerica,” said Hall.
About TruAmerica Multifamily
TruAmerica Multifamily is a vertically integrated value-add multifamily investment firm based in Los Angeles. Founded in July 2013 as a joint venture between Robert Hart and The Guardian Life Insurance Company of America, TruAmerica has been one of the country’s most active multifamily investors and manages a $5 billion portfolio of more than 26,000 units across prime locations throughout Northern and Southern California, Washington, Oregon, Colorado, Arizona, Nevada and Utah. For more information on TruAmerica Multifamily, visit www.truamerica.com or call (424) 325-2750.
About Berkshire Group
Based in Boston, Berkshire Group is a real estate investment management company recognized for its vertically integrated platform and experience in the multifamily sector. Over more than four decades, Berkshire’s team of industry leaders has gained a reputation for being able to identify opportunities and effectively manage through various economic environments, establishing a long-term track record of solid performance based on thoughtful, leading edge strategies, and operational experience. The Company has experience across the multifamily real estate spectrum in disciplines including acquisitions, asset and property management, debt, development and redevelopment. Berkshire, a registered investment advisor, has approximately $5.5 billion in assets under management, and offices in Boston, Atlanta, New York, Baltimore, Dallas, Houston and San Francisco. For more information on Berkshire, please visit www.berkshire-group.com.