ELECTRA CAPITAL MAKES $5.5 MILLION PREFERRED EQUITY INVESTMENT IN HOUSTON APARTMENTS
Houston, Tex. (March 25, 2020) – Electra Capital, an alternative lender specializing in flexible, short-term multifamily financing solutions, has closed on a preferred equity investment in Stonebridge at City Park Apartments, a 240-unit garden-style apartment community located in the southwest section of Houston, Texas.
The $5.5 million, three-year investment was structured to allow the sponsor, Strategic Realty Holdings LLC, to update and renovate the asset to an “A” from its current “B” that resulted from neglect and financial distress of the selling entity. Interior and exterior renovations of close to $11,000 per unit will take the rents to the same level as current market comps for B assets.
“Electra Capital’s principals have a long-standing relationship with the sponsor’s partners spanning over 20 years,” said Sam Greenblatt, CEO of Electra Capital. “Electra was able to structure an aggressive deal because of the property’s strong location and demographic growth, coupled with sponsor’s solid track record of execution in the value-add multifamily space.”
Located at 11800 City Park Central Lane, Stonebridge at City Park Apartments consists of one- and two-bedroom apartments ranging in size from 680 square feet to over 1,107 square feet. Community amenities include detached garages, a fitness center, laundry facility, business center and a BBQ picnic area. The property is conveniently located off of Highway 288, within a 15-minute drive of Downtown Houston and the Texas Medical Center, along with other major employers and shopping/dinning/entertainment destinations.