Author Archives: 0to5

LEM Capital, L.P. (“LEM”), a real estate fund manager with more than $590 million of committed capital, has funded a $3.5 million joint venture investment for the acquisition and upgrade of an apartment complex in Champions, a submarket of Houston, Texas. The venture is acquiring Champions Green Apartments, a 192 unit multi-family property, and plans on making interior and exterior improvements to the property and upgrading the property’s amenities.

The Champions Green complex features a unique condo style layout with a mix of one and two bedroom units all with fireplaces and vaulted ceilings. The plans for the property include: renovations to the leasing office and swimming pool, adding a fitness center, BBQ area with gazebo and business center as well as interior unit upgrades including new appliances, flooring and lighting packages. LEM’s operating partner is a strong multifamily owner with a portfolio of 14 assets and over 2,500 units located in Houston and San Antonio.

“This acquisition supports our continued expansion into new infill locations in the Houston market and the location provides our operating partner the ability to leverage operational efficiencies across their local portfolio,” said Herb Miller, a founding partner at LEM. “We are pleased to begin a new partnership with a sponsor that has a complementary strategy of investing in well-positioned assets with strong upside potential.”

LEM focuses on joint venture investments in value-add multifamily properties with strong local operating partners. LEM’s senior equity investments are generally $3 million to $10 million and may be larger in specific situations or for portfolios.

LEM Capital, L.P. (“LEM”), a real estate fund manager with more than $500 million of invested and committed capital under management, has made an $8.9 million joint venture investment for the acquisition of Highpoint Club Apartments, a 348 unit townhouse style apartment complex located in the Waterford Lakes neighborhood of the University/East Orange submarket in Orlando, Florida.

Highpoint Club features a mix of one and two bedroom units in a condominium style layout, with a wide range of onsite amenities, including a swimming pool and a fitness center. The sponsor’s business plan includes both interior and exterior renovations to the property and improvements to the property’s clubhouse and amenities. A repeat LEM client, LEM’s operating partner in the transaction is an experienced sponsor with a portfolio of over fifteen properties representing nearly 4,000 units.

“Our operating partner’s business plan capitalizes on the property’s unique townhome style layout, with a value add plan intended to enhance the property’s profile and appeal in the market,” said Jay Eisner, a founding partner at LEM. “Once again, we are pleased to support our partner’s growth strategy by investing in well-positioned assets with strong upside potential.”

LEM Capital, L.P. (“LEM”), a real estate fund manager with more than $500 million of invested and committed capital under management, has funded a $3.8 million joint venture investment involving an apartment complex in Canoga Park, California. The venture is acquiring Park Place, a 61 unit multi-family property, and plans interior and exterior improvements to the property and upgrades to the property’s amenities.

The Park Place complex features a mix of one and two bedroom units and a wide range of onsite amenities, including a swimming pool, fitness center and interior courtyards. The sponsor’s business plan includes relocation of the existing fitness center and the creation of a resort style veranda overlooking the property’s large lawn area, pool deck and tennis court. The property is situated in an infill location, conveniently located near Warner Center, one of Los Angeles County’s largest office and retail locations. A repeat LEM client, LEM’s operating partner in the transaction is an experienced sponsor with a portfolio of over 60 properties in California, including 20 in the San Fernando Valley and 9 properties in the Canoga Park submarket.

“Our operating partner turned to us again to support expansion of their portfolio and create operational efficiencies across the multiple properties they own in the sub-market,” said Herb Miller, a founding partner at LEM. “The property’s in-fill location and the team’s hands on management expertise and past experience implementing similar value-add strategies offered a compelling investment opportunity for the firm.”

LEM Capital, L.P. (“LEM”), a real estate fund manager with more than $500 million of invested and committed capital under management, has funded a $4.2 million joint venture investment involving an apartment complex in Canoga Park, California. The venture is acquiring Siena at West Hills, a 112 unit multi-family property, and plans interior and exterior improvements to the property, entrance enhancements and upgrades to the property’s amenities.

The Siena at West Hills complex features a mix of studio, one and two bedroom units and a wide range of onsite amenities, including a swimming pool, fitness center and interior courtyards. The property is situated in an infill location, conveniently located near Warner Center, one of Los Angeles County’s largest office and retail locations. A repeat LEM client, LEM’s operating partner in the transaction is an experienced sponsor with a portfolio of over 60 properties in California, including 20 in the San Fernando Valley and 9 properties in the Canoga Park submarket.

“Like many of our operating partners who seek funding for middle-market value add opportunities, this strong operator required a confident equity partner and certainty of execution to complete the acquisition,” said Herb Miller, a founding partner at LEM. “LEM’s ability to provide the capital needed to restore the property to its full potential is one reason why so many of our operating partners turn to us time and time again for repeat transactions.”

LEM Capital, L.P. (“LEM”) is pleased to announce the closing of a $5.9 million joint venture investment in connection with the acquisition of the Lakes of Northdale Apartments, a 216 unit multifamily property located in the Carrollwood submarket of Tampa, Florida. LEM’s operating partner in the transaction plans a “value-add” business plan for the property, which will include interior and exterior improvements to the property and upgrades to the property’s amenities.

“This investment was our second investment with this partner, a premier owner/operator of apartment communities in southern Florida,” said Jay Eisner, a founding partner at LEM. “The property’s in-fill location in a strong sub-market, combined with the team’s hands on management expertise and past experience implementing similar value-add strategies offered a compelling investment opportunity for the firm.”

LEM Capital, L.P. (“LEM”) is pleased to announce the hiring of two Associates and a Research Analyst who will join the firm’s origination platform. “Our new team members will strengthen our origination capabilities and give us additional bench strength as we continue to ramp up originations in 2012,” said Herb Miller, a founding partner at LEM.

Both Joshua Grossman and Samuel Isaacson have joined the firm as Associates, where they will focus on underwriting and due diligence of potential investments. Mr. Grossman joins the firm from the New York office of Brookfield Properties Corporation, where he focused on the financial analysis of various development transactions as an Associate in the firm’s Development Group. His prior experience includes equity and debt restructuring, acquisition and investment activities at AREA Property Partners in New York and Forest City International in London. Prior to joining LEM, Mr. Isaacson was an Associate at Wells Fargo Securities in their Investment Banking – Financial Institutions Group where he focused on capital markets and M&A transactions involving REITS and specialty finance companies.

Also joining the origination team at the firm as a Research Analyst is Constance Zimmer, who is responsible for researching both macro and local level economic and commercial real estate trends in markets where LEM is originating investments, as well as researching and identifying additional markets in which LEM might consider new investments. “With Constance’s focus on research, we can target our originations in markets where positive trends support compelling investment opportunities,” said LEM founding partner Jay Eisner. Prior to joining LEM, Ms. Zimmer was a Director at Energy Reconsidered, where she researched green energy applications for potential development sites, and her previous experience includes research related to historic preservation, adaptive reuse and site identification for ground-up development.

LEM Capital, L.P. (“LEM”) is pleased to announce the launch of the firm’s Participating Senior Equity Program. “Our ability to provide up to 80% of the equity enables us to meet the needs of our partners as they acquire new properties, infuse new capital into existing assets or restructure existing deals with lenders,” said Jay Eisner, a founding partner at LEM. Although the terms of each deal are customized to meet the particular needs of the transaction, the Program typically provides between 60% to 80% of the required equity behind the senior mortgage debt, but in a position senior to the sponsor’s equity. In exchange for giving LEM a senior position in the waterfall, the sponsor receives a larger share of the back end profits. “Our Participating Senior Equity Program continues 10 years of commitment to meeting the needs of our clients in our established niche – providing structured finance solutions to middle-market real estate owners and operators” said Eisner.

LEM Capital is also pleased to announce that David Lazarus has joined the firm as Principal, where he will be involved in originations, underwriting and all aspects of the investment process. “We are extremely pleased to have David join our team at LEM,” said Herb Miller, a founding partner at LEM, “David’s transactional experience and real estate investment skills will broaden our platform and strengthen our ability to execute our investment strategy as we ramp up originations in 2012.” Mr. Lazarus joins the firm from Spring Mill Capital Management, and he previously held various senior positions at Capmark Financial Group, including Executive Vice President and chief operating officer of the firm’s investment management group and head of the firm’s global capital markets commercial mortgage backed securities and loan syndication team. Mr. Lazarus began his career as a real estate and structured finance lawyer at Dechert, LLP.