Sometimes the first paperwork posted for a real estate deal is only the beginning of the story.
I reported that North Dakota-based Centerspace, formerly known as IRET, sold the 72-unit Crystal Bay Townhomes in south Rochester for $13.6 million on May 25. Colorado-based Monarch Investment and Management Group bought it.
That’s accurate. However, it was just the start. The state later posted online the rest of the IRET/Monarch sales, which totaled $59.4 million for six properties with 585 units.
Here are the six transactions.
* Heritage Manor Apartments with 182 units at 2409 North US 52 was purchased by Monarch for $14.12 million. Monarch was already managing the property for Centerspace.
* Crystal Bay Townhomes with 72 units at 240 Crystal Bay Court SW was purchased by Monarch for $13.6 million, as I previously reported.
* Olympik Village at 402 31st St NE with 140 units at 31st St NE was purchased by Monarch for $10.2 million. Monarch was already managing the property for Centerspace.
* The Winchester Apartments with 115 units at 3908 19th Ave NW was purchased by Monarch for $9.5 million.
* The French Creek Townhomes with 40 units at 2000 Chardonnay Lane NW was purchased by Monarch for $6.7 million.
* Village Green Townhomes with 36 units at 1828 41st St NW was purchased by Monarch for $5.3 million.
Centerspace/IRET acquired Crystal Bay and French Creek in 2016 as part of a $72.5 million deal to buy 393 Rochester rental units from locally based Bouquet Cos. Centerspace/IRET still owns prominent Rochester housing communities, like Avalon Cove, GrandeVille at Cascade Lake and Quarry Ridge Apartments.
Keith Collins, Abe Appert and Ted Abramson of CBRE Minneapolis Multifamily represented the seller in the deal. In a release, CBRE stated that the properties were 95 percent occupied and there had been 14 bids on them.
“This was a unique, diverse portfolio, offering both older vintage value-add assets, in addition to newer townhome products with individual entrances,” stated Abramson in a statement about the transactions. “We continue to see strong demand for secondary Minnesota markets from both local and national buyers focused on a little bit better yield.”