REIT Acquires Four REO Assets in December 2012
Resource Real Estate Opportunity REIT completed last year in productive form by capitalizing on approximately $2 trillion in commercial real estate debt that is maturing over the next few years.
In December, the Philadelphia-based real estate firm acquired four real estate owned assets located in Texas, Oklahoma and Tennessee.
Two of the company’s most recent purchases include Skyview at Palm Center and Flagstone Gardens Apartments, each located in Houston. Terms of both of these transactions was not disclosed.
Skyview is a 360-unit multifamily residential community comprised of 418,500 rentable square feet spread across 30 buildings. The REO asset was purchased on Dec. 20, 2012.
Flagstone, a 292-unit multifamily residential community consisting of over 229,000 rentable square feet throughout 18 buildings, was purchased on Dec. 21, 2012. The REIT said it plans on deploying capital to Flagstone to repair, upgrade and reposition the asset within the next two years.
Upgrades made to the commercial real estate asset will be concentrated on the unit interiors as well as the exterior of the property. Once construction work is completed, the asset will be marketed within the community, Resource Real Estate said.
Prior to the purchase of the Houston properties, the company also acquired the Park Forest Apartments in Oklahoma City as well as the Foxwood Apartments in Memphis in December 2012. Park Forest was bought for $2.05 million and Foxwood was obtained for $2.27 million.
As of June 2012, the REIT managed a portfolio of nearly $1.7 billion in real estate related assets, which includes over 24,000 apartment units across 61 multifamily complexes in 14 states.
“We look to buy distressed assets and deploy the requisite capital and specialized management to repair and stabilize a property,” said Kevin Finkle, executive vice president of Resource Real Estate. “We are very proud of our efforts in 2012 and are excited about the opportunities the future holds.”