Jim Lippman CEO of JRK Property Holdings Acquires 5 Communities for $390M

 

Jim Lippman, CEO of JRK Property Holdings is capping off its year of multifamily acquisitions with the purchase of five communities for $390 million. Throughout the fourth quarter of the year, the company acquired a total of more than 1,500 units located in Florida, Texas, Louisiana and Maine.

The acquisitions include:

• The 266-unit Edgewater Crossings located in Panama City Beach, Fla., that was built in 2014 and is 97 percent occupied.
• The 301-unit The Halstead located in Houston, that was built in phases between 1960 and 2004 and is also 97 percent occupied.
• The 336-unit Heights at Hammond in Hammond, La., that was built in 2019 and is at least 97 percent occupied.
• The 500-unit Redbank Apartments Village in Portland, Maine, that was built in 1945 and is 98 percent leased.
• The 120-unit Liberty Commons also in Portland, Maine, that was built between 2005 and 2006 and is 97.5 percent leased.

According to JRK, the acquisitions were made through four separate transactions, with the communities in Maine acquired as a two-property portfolio. Yardi Matrix data shows that JRK acquired The Halstead from Cortland for more than $60 million and Edgewater Crossings from Crescent Real Estate for $72.5 million.

The communities were acquired through the company’s multifamily value add funds, the $800 million JRK Platform IV that targets multifamily investments built after 1990 and the $330 million JRK MF Opportunities II that targets assets built before 1990. According to JRK, these investment vehicles are funded with capital from institutional investors, high-net-worth individuals and family offices.

CARRYING THE MOMENTUM INTO 2022

Heights at Hammond. Image courtesy of JRK Property Holdings

With the latest acquisitions, JRK has marked nearly $700 million in new acquisition transaction activity for 2021. The company’s portfolio also includes a 240-unit community in Silverdale, Wash., that JRK acquired in June 2019.

James Broyer, president of JRK’s investment division, said in prepared remarks that the company is planning to sustain the momentum for 2022. He added in his prepared statement that JRK has more than $5 billion of buying power from the two existing multifamily funds and will continue to look for opportunities across all vintages of properties in the majority of U.S. markets.

“With assets in 24 states, JRK is actively looking all across the country for acquisition opportunities to both expand and deepen our national footprint in 2022,” Broyer told Multi-Housing News, adding that JRK targets deals anywhere from $30 million to $1 billion portfolios across all vintages. “By acting as owner and operator, JRK is able to leverage the internal data and analytics we have on our 30,000+ unit portfolio to lean in on markets where we are currently seeing outsized property performance, such as coastal and sunbelt markets.“