DETROIT – September 17, 2020 – Berkadia today announced the sale and financing secured for Arbor One Apartments, a 469-unit garden-style multifamily property in Ypsilanti, Michigan. Senior Managing Director Kevin Dillion, Managing Directors Jason Krug and Rick Vidrio, Senior Director Rick Brace and Directors Charley Henneghan, Carly Dietz and Corey Krug of Berkadia’s Great Lakes Team completed the $30.4 million sale on behalf of the seller, Michigan-based Watermark Partners Real Estate.
The buyer is New Jersey-based Valleytree Partners, and the purchase closed on August 31, 2020. Valleytree has been an active buyer in Michigan for years now, demonstrating a keen ability to purchase multifamily property and add tremendous value. They partner with Michigan-based LR Management as their property manager in Michigan.
“Valleytree has a strong business plan to improve the physical condition of the properties and reorganize the management. These strategies have proven to be highly successful for them in the prior acquisitions,” said Dillon. “The properties will be improved to a level they have not seen in several years.”
Director Aaron Moll of Berkadia’s Detroit office secured $23.5 million in financing with Freddie Mac for the property on behalf of the buyer.
“Very excited to work with Valleytree again as they expand their Michigan portfolio,” said Moll. “This Freddie Mac loan provided the borrower with the pre-pay flexibility they were looking for while maximizing loan proceeds and interest only period. The interest rates today have really kept the multifamily space liquid, and this deal was no exception. All-in-all a fantastic acquisition for this client.”
Arbor One Apartments, located at 799 Green Road, features newly renovated one-, two- and three-bedroom floor plans with in-unit washers and dryers. Community amenities include a swimming pool and onsite parking. Residents are afforded convenient access to Route 23 and the city of Ann Arbor.