Los Angeles-based portfolio lender Thorofare Capital provided an affiliate of California Capital Real Estate Advisors with a $12.125 million fixed-rate bridge loan for the acquisition and repositioning of an REO portfolio of two apartment home communities in Las Vegas.
The distressed portfolio includes Ridgewood Apartments, a 112-unit community located at 3355 South Arville St., and Evergreen Apartments, a 228-unit community located at 5400 W. Cheyenne Ave.
Each property had suffered from a lack of capital infusion, leading to a deterioration of the propertiesâ physical condition and perception within the rental market.
CALCAP acquired the assets through Auction.com from Miami-based commercial mortgage-backed securities special servicer LNR Partners, LLC.
A portion of the proceeds will be used to fund a multimillion-dollar capital improvement program across the 340-unit portfolio. Planned improvements include renovation of the exterior and common areas as well as refurbishment of 68 units that were taken out of rental inventory due to the limited availability of capital needed to turn the units.
CALCAP has retained Las Vegas-based B&R Property Management to oversee the renovations. They oversee more than 5,000 units across 26 properties in the Las Vegas area.
Their business plan is to perform capital expenditures in vacant units and as tenancy rolls over, lease up the property at market rental rates, and maximize value through efficient property management.