Trigild Adds Seven Multi-Family Communities to Its Portfolio
- Apr 10, 2012
Trigild, a San Diego-based real estate management and loan recovery firm, recently expanded its multi-family portfolio with the addition of seven multi-family communities across the United States.
These properties include one multi-family community in Georgia, on in South Carolina, three in Nevada and one in Idaho. This includes tertiary markets, which is proving to be a lucrative market for Trigild.
“[Tertiary markets] are something we’ve watched for a while. It’s a factor of the economy,” Brian Morelan, managing director of commercial real estate, Trigild, told Multi-Housing News, the sister publication to Commercial Property Executive. “The Class A core properties have been taken up by the large investment funds and the REITS. With continued non-growth in jobs, the industry fundamentals are starting to affect the smaller markets in the apartment end.”
Morelan explains that multi-family properties in these markets play to Trigild’s strengths.
“We’re beginning to see that the tertiary markets in multi-family are having challenges,” Morelan, says. “With our experience — not only in length of time, but in the volume that we do — it plays to our strengths, where we can come in and really analyze a property and get it back to a stabilized operating platform, which is a tremendous benefit for our clients as they decide how they’re going to dispose of the assets in the future.”
The acquired properties include River Oak Apartments, a 7.9-acre, 96-unit property in Anderson, S.C.; Beverly Forest Apartments, a 3.6-acre, 42-unit property in Mableton, Ga.; Tree Top Apartments, a 7.3-acre, 42-unit property in Hinesville, Ga.; The Woodbridge Apartments, which include 20 two-story apartments with 200 units in Boise, Idaho; The Judith Villa Apartments, a 144-unit building in Las Vegas; Joshua Villas Apartments, a 176-unit apartment community in Las Vegas; and The Fremont Villas Apartments, a 138-unit building in Las Vegas.
“Our experience has greatly helped us understand what’s going on with troubled properties and lends itself to operating properties long term,” Morelan says. “We probably have 20-30 projects in the multi-family end, and it’s one of our core strategies going forward. We’re really excited with this opportunity to grow.”
A report by Marcus & Millichap Real Estate Investment Services Inc. from the beginning of 2012 predicted investors’ change in tactics as primary markets became saturated. “We expect capital to migrate to secondary markets and value-added investments,” John Sebree, national director of the firm’s national multi-housing group, said. “Sales volume will rise as risk tolerance expands and capital becomes more fluid.”