KRE, Dune Acquire 5 M-F Assets for $237M; South Blvd. Apartments Fetches $42M

By Alex Girda, Associate Editor, and Paul Rosta, Senior Editor Las Vegas’ residential market ended 2013 with a flurry of high-profile multi-family transactions. In a $237 million deal, KRE Capital and Dune Real Estate Partners teamed up to acquire five residential properties comprising 1,435 rental and condominium units, VegasINC.com reports. The seller, ST Residential, was [...]

Las Vegas’ residential market ended 2013 with a flurry of high-profile multi-family transactions. In a $237 million deal, KRE Capital and Dune Real Estate Partners teamed up to acquire five residential properties comprising 1,435 rental and condominium units, VegasINC.com reports.

The seller, ST Residential, was formed by private equity investors who bought construction loans on the properties from the Federal Deposit Insurance Corp., Bloomberg News reported. FDIC, in turn, had assumed the notes when it closed Corus Bank in 2009.

According to information on ST Residential’s website, the portfolio includes:

  • The Juhl, 353 E. Bonneville Ave., 341 units
  • Loft 5, 2715 West Pebble Rd., 272 units
  • One Las Vegas, 359 units (address not listed)
  • Spanish Palms Condominiums, 5250 S. Rainbow Boulevard, 188 units
  • The Ogden, 150 Las Vegas Blvd. N., 275 units

Of note, the Ogden is the home of Tony Hsieh, the entrepreneur and leader of the Downtown Project. ST Residential originally listed the assets in early 2013 as part of a 13-property, eight-state portfolio with a $1 billion asking price.

Also in late December, The Praedium Group acquired South Blvd. Apartments (pictured above) from Nevada West Development for $41.9 million. Located at 10200 Giles St., the 320-unit complex was completed in 2012. CBRE Group Inc. arranged financing for the deal, while Hendricks-Berkadia represented the seller.

South Blvd. Apartments comprises 29 two-story buildings, large layouts, nine-foot high ceilings, granite countertops, stainless steel appliances and washer/dryer units. Community amenities include a state-of-the-art clubhouse and health center, a resort-style pool, a common barbecue area, a movie theater with stadium seating, and gated garage parking. The complex was 93 percent occupied at closing.