August 22, 2017
Orlando, Florida - The McKinley Companies announced today the closing of $42 million in long-term financings with Fannie Mae originated by Key Bank on two Multifamily communities located in Orlando and Winter Park, Florida. Amalfi Universal Orlando, a 252-unit community, and Serena Winter Park, a 120-unit community, are two recent Multifamily investments McKinley acquired in 2016.
"We are thrilled to lock up long term debt on both of these assets in this continued favorable interest rate environment. We secured 15-year fixed rate term financing very early in the life of these investments given the excellent lease-up success," offered Jim Willett, McKinley's Senior Vice President and Managing Director Finance. "We have a very large pipeline of over $150 million in 15 year fixed rate debt in process with Fannie Mae and Key Bank as part of our effort to lock up all of our remaining acquisition debt, all of which will be closed by early Q4 of this year," added Willett.
McKinley and Key Bank have had an extraordinary long term relationship now spanning over 20 years. Key Bank has provided acquisition and renovation financing, bridge and gap financing, lines of credit, and long term capital markets access including CTL, CMBS, HUD, and Fannie Mae financings in support of McKinley’s efforts over the years. "We are excited to execute this next leg of locking up long term debt for our generational Multifamily platform. Over 90% of our debt is now locked up with 35-year fixed rate financing closed at historical low rates over the past 5 years, and this next tranche of 15-year fixed rate financing will be equally accretive to our balance sheet and long term asset value as well. Our very good friends at Key Bank have done a superb job with this effort, and we are thrilled with the outcome," added Willett.
Winter Park and the Southwest Orlando Theme Park market, are core investment markets for McKinley. McKinley has actively invested in Central Florida since 1982, and it is the largest Multifamily Owner/Operator along the Interstate-4 Corridor with communities located in Daytona Beach, Winter Park, Orlando, Gainesville, Hyde Park/Downtown Tampa, Clearwater, and the barrier islands of Hillsborough County including Gulfport, South Pasadena and North Redington Beach. "Our people and our leaders in Central Florida make the entire difference in everything we are doing," offered Albert M. Berriz, McKinley's CEO, Co-Owner and Managing Member, "It’s really that simple, we have extraordinary leadership that "live and work" on the ground in Central Florida with Erin Foley, Brent Boyette, Jason Schaller and Mary Williams. They have allowed us to grow and expand our efforts in this most promising market, and they are creating endless opportunities for themselves and our people. We have a very bright future along the Interstate-4 Corridor, it is without question our fastest growing market, and we have our people and our leadership to thank for that because they are absolutely extraordinary!" added Berriz.
August 17, 2017
Spark @nn Arbor USA writes an interesting post about the need for workforce housing in Ann Arbor. Click Here
August 14, 2017
Plymouth-based real estate company Hillside Investments LLC has paid $50 million for a pair of key downtown Ann Arbor buildings. To read more Click Here
August 11, 2017
The McKinley Companies is proud to announce the sale of two of its trophy assets, McKinley Towne Centre and Liberty Square located in the prestigious Tech Corridor in Downtown Ann Arbor. McKinley acquired McKinley Towne Centre in 2005 after the move-out of a major bank impacted the State Street area leaving the building essentially vacant. Shortly after in 2007, McKinley acquired the also vacant Liberty Square, after which it set forth on a major mixed use redevelopment of the existing buildings and sale of the vacant parcel located across the street. This parcel became the purpose built student housing development known as Sterling 411 Lofts, the first of many luxury student apartment developments in the area. What followed was a revitalization of the area now known as the Ann Arbor Tech Corridor which houses many of the most exciting companies in Downtown Ann Arbor today.
"Our team is very proud of its efforts over the past 12 years. We achieved our specified goals of making McKinley Towne Centre the connection of "town and gown", the hub of cultural activities in the downtown, igniting the tech corridor, and activating from a pedestrian vantage point the connection along Liberty between Main and State streets. We are also confident that the Hillside Investments team will carry on our efforts and take what we have done to a new level for the community" said Albert M. Berriz, McKinley's CEO, Co-Owner and Managing Member.
McKinley embarked on a major initiative to dispose of its retail and office assets several years ago, and this sale transaction is a part of that effort. McKinley, it's ownership, it's Board, along with itsmanagement team, developed a comprehensive plan that will eventually migrate McKinley's owned asset platform to become essentially an all Multifamily enterprise. McKinley will continue ownership of select commercial assets including its corporate campus in the Kerrytown District in Downtown Ann Arbor, it's retail holdings in Pittsfield Township, Michigan where it is the largest Multifamily owner/operator, and its trophy office holdings in Akron, Ohio. McKinley will also continue its ownership of a very high quality Triple Net portfolio located throughout Central Florida. Finally, McKinley continues its Institutional Commercial Client Services effort which manages over 5 million square feet of office and retail assets for select institutional clients including complex receiverships, workouts and long term management.
"Our team has done a superb job migrating our owned asset platform to essentially an all Multifamily enterprise. At our current growth rate, our owned portfolio will approach 20,000 units by 2020 in Florida, Michigan, Illinois, Indiana and Georgia, along with another 5,000 units we operate for a select blue chip list of long term oriented institutional partners we have done business with for many years. We have decided to focus our talent and capital on what we do best, operating Multifamily assets on an extraordinary basis, and with a high degree of customer satisfaction" added Berriz.
August 11, 2017
McKinley Companies has announced the sale of two of its properties in Ann Arbor for $50 million to a Michigan investment company. To Read More CLICK HERE