CHICAGO, IL - ST Residential, a manager of properties owned by a public-private partnership between the FDIC and a group of leading U.S. private real estate investors, announced it will list 13 acclaimed multi-family properties in eight states across the country from its portfolio at the National Multi-Family Housing Council's (NMHC) annual meeting in Palm Springs on January 22 and 23.
The multi-family portfolio, which carries an estimated value of nearly $1 billion, features high-quality properties all located in regions of the country currently experiencing strong rental growth. The properties are located in Atlanta, Chicago, Houston, Las Vegas, Los Angeles, Phoenix, Stamford, CT and Tampa, and will be offered individually in sub-portfolios or as a single portfolio sale. Each building is committed to luxury condo level finishes and as rental buildings in excellent locations.
The listing represents the latest example of ST Residential successfully repositioning the assets it manages on behalf of the public-private partnership. Since acquiring the assets through the acquisition of a portfolio held by the former Corus Bank in October 2009, the partnership has been committed to intelligent and patient stewardship of each property and the portfolio overall. ST Residential has earned a reputation for providing the best lifestyle opportunities to buyers and renters by repositioning and improving their properties in a way that matches their consumers' needs and desires. After the completion of construction, and in some cases, nearly complete redesign of landscaping, sales centers and model units, the portfolio's occupancy (on stabilized assets) has now reached 98%.
"The Corus Bank transaction has performed extremely well for the FDIC and our private investor group. The partnership has repaid $1.3 billion of FDIC purchase money notes and has more than $1.0 billion of cash in hand. More than 32 loans were paid off at par and we have sold 60% of the condo inventory we acquired at ever escalating prices," said Barry Sternlicht (Chairman & CEO of Starwood Capital Group), Chairman of ST Residential. "We are very proud of where we have taken this portfolio and look forward to finishing our task with continued excellent performance, including the sale of this portfolio."
"We are excited to take this unique portfolio of high-quality multi-family properties to market at a time when there is very strong demand for these unique city-center, newly constructed assets," said Kelvin Davis (TPG), Board Member of ST Residential.
Wade Hundley , CEO of ST Residential, added, "Now that we are beginning our fourth year of the realization of the Corus Bank portfolio, the time was right within the portfolio lifecycle to sell these extremely unique, high-performing properties for the benefit of the FDIC and our private investors."
Additionally, ST Residential has hired HFF and Eastdil Secured to manage the sale, as both companies are recognized for their large portfolio experience and strategic approach.