LENEXA, KS – A partnership between L5 Investments and BH Equities has acquired Lenexa Pointe Apartments, a 289-unit apartment community for $17.75 million. The property is situated on 20.46 acres and is located at 12000 W. 77th Terrace in Lenexa, KS, a city approximately 12 miles south of Kansas City, MO.
Built in 1972 and renovated in 1992, Lenexa Pointe is a garden-style apartment community that includes 145 one-bedroom units and 144 two-bedroom units. The on-site amenities include a swimming pool, clubhouse, and picnic areas with charcoal grills. Its location provides excellent access to Interstates 35 and 435, retail, dining, and award-winning schools.
The partnership is planning a major renovation of the property estimated at more than $6 million and will include construction of a new leasing center, business and fitness center; landscaping enhancements; new lighting; and exterior signage. Improvements will also be made to the majority of unit interiors which will include the installation of new flooring, cabinets, counters, lighting, fixtures, appliances, and washers and dryers. Additionally, in a strategic move to improve Lenexa Point’s operational functions, BH Equities will manage the property through BH Management Services, its property management arm.
“L5 continues to be bullish on seeking apartment assets in strategic locations that offer a favorable upside,” said Michael Flaherty, founder and managing partner of L5 Investments, a Northern California-based multifamily investment firm. “We are pleased to partner on another multifamily acquisition with BH Equities and believe our very comprehensive property renovation plans for Lenexa Pointe will provide residents with a quality, amenity-rich, and well-managed community.”
“This is BH’s second venture with L5 in the greater Kansas City Metro, and part of an overall relationship that spans from Texas to the East Coast,” said Kelly Weber, director of marketing for BH Management Services. “Our similar philosophies of maximizing value for our residents through amenity-rich community enhancements make for an excellent partnership.”
With more than 50,000 residents, the City of Lenexa boasts one of the top school districts in the state and nation. It also has a strong business community with a number of high tech and bioscience companies located there. The city also provides a favorable commuting environment for those driving or taking public transportation to Kansas City and surrounding areas. The job market throughout the greater region continues to expand as major companies such as Google Fiber, Federal Express, Wausau Supply, Procter & Gamble and H&R Block have made recently announcements to relocate operations or expand their presence in the area.
Dustin Dulin with JLL arranged the debt on behalf of the partnership. Brandon Grisham with CBRE brokered the deal with both the buyer, and the seller, a private investor.
About L5 Investments: Founded in 2009, L5 Real Estate Investments, LLC (DBA L5 Investments) is a privately held investment firm focused on value-add, income-producing multifamily properties in emerging U.S. markets. The firm currently has in excess of $165 million of assets under management in seven states. The company targets opportunities that provide high-yield, passive cash flow and long-term capital appreciation for its investors through strategic acquisition, renovation, and superior asset management. With over 50 years of real estate experience, L5 and its partners continue to capitalize on opportunities to own multifamily properties in premier locations. These properties generate attractive short-term income and long-term wealth potential. L5’s success and reputation has been built on its track record, conservatism, passion, attention to detail and the belief that trust starts and ends with honesty and integrity. L5 is based in the Sacramento area www.L5invest.com
About BH Equities and BH Management Services: BH Companies are committed to creating value by acquiring, improving and managing apartment communities with the goal of maximizing asset value for their partners. Their success in this endeavor is evidenced by their growth from a start-up firm in 1993 to one of the largest multi-family owners and management companies in the nation. BH Companies is comprised of three divisions including BH Equities, BH Management Services and BH Construction Services. With more than 60,000 units under management in 21 states, BH Management Services, LLC ranked 11th on the National Multifamily Housing Council’s Top 50 Management Companies for 2016, while BH Equities ranked 17th on the NMHC’s Top 50 Owners. For more information, visit www.BHManagement.com