Canyon Capital Realty Advisors funded a $35.0 million loan to refinance and to acquire existing senior and mezzanine debt collateralized by over 2,100 multi-family units within twelve garden-style condominium conversion developments located in Florida, Arizona and Nevada. The condominiums are owned by SunVest Communities USA, LLC and its affiliates, a real estate development company headquartered in Hallandale, Florida.
The multi-family properties were built between 1984 and 2003 as apartment developments with over 4,700 units. SunVest acquired the properties during 2005 and 2006, and successfully renovated and converted the units from apartments to condominiums. Since completion of the condominium conversions, SunVest has sold over 50% of the portfolio units. The remaining units within the SunVest portfolio are currently offered for sale and for lease.
“SunVest continues to successfully close on sales of units as part of their condominium conversion sales strategy,” said Jonathan Roth, Principal of Canyon. “In addition, SunVest’s properties are located within strong rental markets and are therefore well-positioned to weather the slowdown in the for-sale housing market by capturing increased rental demand.”
The Florida properties are located in Orlando, Coral Springs, Miami and Tampa within the communities known as Eaglewood, Regency Gardens, Hawthorne Village, Harbor Point, Edgewater, Mediterranean Village and Enclave. The Arizona properties are located in Phoenix within the communities known as Mountain Canyon, Red Rox and Citi on Camelback. The Nevada properties are located in Las Vegas within the communities known as Traverse Point and Pinehurst.
SunVest has a successful 29-year track record in operating, repositioning and converting apartments and hotels to condominiums. Since inception, SunVest has sold over 20,000 units in over 100 developments in Florida, Las Vegas, Arizona, Colorado and Texas. SunVest is managed by Harvey Birdman, Louis Birdman and Herb Hirsch.
“We are thrilled with the closing of this highly complex transaction and to form a relationship with SunVest,” said Bobby Turner, Managing Partner of Canyon. “This deal is consistent with Canyon’s investment philosophy of providing capital to experienced real estate operators for assets that have substantial downside protection.”
Source: BusinessWire.com