San Diego, Calif. – April 1, 2015 – (RealEstateRama) — Intercontinental Real Estate Corporation (“Intercontinental”), a national real estate investment, development, and management firm headquartered in Boston, MA, and MG Properties Group (“MG”), a private San Diego-based real estate investor and operator, have announced their acquisition of the Madison Park Apartments in Anaheim, California. At 768 units, this is the largest single property by number of units to be purchased in Southern California since 2013. The price was not disclosed.
Madison Park is centrally located in West Anaheim near the I-5 freeway, between Disneyland and Knott’s Berry Farm. Apartment interiors have been recently renovated with high quality finishes and a contemporary aesthetic. The buyer intends to further invest in the property to improve common areas and select interiors.
Madison Park was purchased from a private multifamily investment firm. Institutional Property Advisors (IPA) executive vice president investments Greg Harris and IPA director Kevin Green represented the seller. The buyers represented themselves. The acquisition was financed with a 10-year fixed-rate mortgage from Fannie Mae, arranged by Brian Eisendrath at CBRE.
“The Orange County area continues to be a top performing market with favorable economic and real estate conditions. With convenient access to Anaheim’s major employers, Madison Park offers an affordable alternative to the area’s newer development projects,” says Jessica Levin, who is based in Intercontinental’s Los Angeles, CA office.
MG also owns the comparable 402-unit Crystal View Apartments in Garden Grove, CA. According to Mark Gleiberman, MG’s Chief Executive Officer, “Madison Park is an excellent addition to our portfolio, further expanding our scale in the Orange County region. We expect the property to have long term stability and to benefit from the diverse regional job base and growth potential.”
Designed as a resort-style community, the property features exceptional common area amenities, including two swimming pools, sports courts, a large fitness center and group exercise room, clubhouse, movie theater, banquet room, and a business center.
“Madison Park is a highly amenitized multifamily housing community that services an under-supplied segment of the submarket,” adds Greg Harris of IPA. “Highlighting Madison Park’s position in the market as a rare combination of luxury living at an affordable price compared to competing assets of similar quality proved beneficial to both the buyer and seller,” notes IPA’s Kevin Green.
Intercontinental Real Estate Corporation (www.intercontinental.net) is an SEC registered investment adviser with deep expertise in real estate investment, finance, development, construction management and asset management. Since 1959, Intercontinental has managed, developed, and owned over $10 billion in real estate property. Today, Intercontinental owns and manages a portfolio in excess of $ 4 billion for its clients. Intercontinental balances its portfolio both by robust property mix and by geographic diversification, while actively seeking opportunities to invest in both core and core plus, as well as value-add development projects.
MG Properties Group (www.mgproperties.com) is a privately owned West Coast real estate owner and operator specializing in multi-housing assets. Madison Park marks MG’s fifth acquisition in the past six months. The five acquisitions totaled 1,706 units and $258,000,000 in combined purchase price. The company is targeting further acquisitions in Arizona, California, Colorado, Nevada, Oregon, and Washington. Over the last 20 years MG Properties Group has acquired 82 communities with its private investors and institutional joint venture partners, totaling over 16,000 units and representing more than $1.7 billion in total asset value. The company’s current portfolio includes approximately 12,000 units in California, Washington, Arizona and Nevada. MG employs 350 professionals with in-house expertise in acquisitions and underwriting as well as asset, property, construction and investment management.
With a network of senior-level investment advisors located throughout the United States, Institutional Property Advisors (www.ipausa.com) is qualified to meet the needs of institutional and major private investors. IPA’s combination of real estate investment and capital markets expertise, industry-leading technology, superior support services and acclaimed research offer customized solutions for the acquisition and disposition of institutional properties and portfolios.