RALEIGH NC, June 4, 2010 – Apartment REP, a multifamily commercial real estate brokerage and advisory firm headquartered in Raleigh, just completed the $4,400,000 sale of the River Haven Apartments in Raleigh, North Carolina. Apartment REP represented both the seller (RIVER HAVEN INVESTMENTS, LLC) and the buyer (TMG REALTY ADVISORS, INC.) in the transaction.
River Haven is a 112-unit apartment community situated directly adjacent to Capital Boulevard at 9310 River Haven Place in North Raleigh. It was built in 2000 as an affordable housing community but was foreclosed upon by the lender, COMMUNITY INVESTMENT CORPORATION OF NORTH CAROLINA ("CICCAR"), in January 2010. Apartment REP acted as a market resource for CICCAR during the foreclosure process and brought them the buyer immediately after it was completed.
The sale price equated to $39,286 per unit and an incredibly low CAP rate of only 4.7% according to Jim Scofield, Senior Investment Advisor and CEO of Apartment REP, who described the transaction as a "win-win" for both parties. "River Haven is a terrific community, but its poor operating history and the restrictions related to the affordable tenants severely compromised its value and the financing that could be placed on it. Even so we were able to achieve the property's inherent value and enable CICCAR to recover 88% of their outstanding loan balance which was significantly higher than the industry average of 63%. At the same time TGM was able to buy a very-well-located community in excellent condition and on the upswing for far less than replacement cost that they will quickly be able to turn into a cash cow."
About Jim Scofield
Jim Scofield is Senior Investment Advisor and CEO of Apartment REP. He is a licensed North Carolina Real Estate Broker with more than 30 years of Commercial Real Estate experience. Scofield has extensive background and experience representing private investors, small businesses and large corporations in the analysis, sale, purchase and lease of commercial properties. His career highlights include CoStar Power Broker, SVN TOP 10 Advisor, Partners Circle, Achievers Award, and Humanitarian Award.
About Apartment REP
Apartment REP is a client-focused, full-service brokerage and advisory firm specializing in multifamily commercial real estate. They combine local expertise with a national network of apartment real estate professionals to serve apartment owners in North Carolina, as well as across the entire United States. For more information please visit our website: www.ApartmentREP.com
FOR MORE INFORMATION, PLEASE CONTACT:
Mike Siciliano | Marketing Director
Apartment REP
919.866.9984
Mike@ApartmentREP.com