Dealmaker: Northmarq Completes $32M for Retail, SFR
(Encanto Waterfront, Phoenix.)
Northmarq arranged $32.3 million to refinance a shopping center in New York and to sell a single-family rental home community in Phoenix.
Northmarq completed a $22 million refinance of Village Greens Shopping Center in Staten Island, N.Y. Robert Delitsky, senior vice president/managing director, and Dylan Hamer, associate producer, of Northmarq’s New York debt/equity office, secured the refinance.
The 75,697 sq. ft. grocery-anchored retail shopping center is located in the Arden Heights section of Staten Island. The property is anchored by Key Food Supermarket, CVS Pharmacy and JP Morgan Chase Bank. Built in 1989, the multi-tenanted retail property serves as the shopping destination of the residents of the Arden Heights neighborhood.
Northmarq secured the permanent-fixed rate loan for the owner through its correspondent relationship with Nationwide Life Insurance Company.
Northmarq’s Phoenix Investment Sales team of Trevor Koskovich, Ryan Boyle, Jesse Hudson and Logan Baca brokered $10,325,000 million (±$491,667/per unit) for Encanto Waterfront, a 21-unit, luxury single-family build-to-rent community at 814 E. Roma Avenue. Northmarq represented the seller, Phoenix-based Metro 21 on Roma LLC. The buyer was BSK 340, LLC from Los Angeles.
Built in 2023, the pet-friendly community features 21 two-story, luxury single-family rental homes with three bedrooms and two and one-half baths. It includes six 1,298-square-foot units and fifteen 1,378-square-foot units. All of the homes included attached one-car garages and fenced yards with paver walkway/patios. The interiors feature wood-style flooring in all of the living areas, carpeted bedrooms, stainless steel appliances, walk-in closets and in-unit washer and dryer.
“Encanto Waterfront presented the unique opportunity to acquire a true detached single-family rental community in the heart of Central Phoenix. The dynamic infill location and lack of true competing product in the area made for an attractive acquisition,” Boyle said.
According to Northmarq’s Single-Family Build-to-Rent Properties Special Report (November 2022) elevated mortgage rates have contributed to continued renter demand, including single-family renters who may have otherwise transitioned into homeownership in a low- or stable-interest rate environment. Developers are increasing activity levels with deliveries of single-family, build-to-rent units forecast to rise 20 percent in 2022 and construction starts are on pace to spike by 25 percent. Metropolitan Phoenix is one of U.S. markets showing the highest growth in new single-family, build-to-rent projects.
