ACRES Capital Originates $49M Loan to Complete Downtown Houston Multifamily Propert
Multifamily DevelopmentFEBRUARY 06, 2020
HOUSTON, TX (January 31, 2020) – ACRES Capital Corp. (together with its subsidiaries, “ACRES”), a leading commercial real estate middle-market lender, is pleased to announce that it has originated a $49 million construction loan to fund the completion of Sovereign at the Ballpark (the “Property”), a 229-unit, class A multifamily building located at 101 Crawford Street in Downtown Houston. The loan carries a term of 18 months and is provided to sponsor Russ Krivor, an experienced investor with over $300 million in assets under management and more than 4,000 completed and leased apartments throughout the United States.
“As the second-most populated metropolitan statistical area in the state of Texas and the energy capital of the world, Houston has expanded its economic base with growth in the international business, information systems technology and service-related industries,” said ACRES President and Chief Executive Officer Mark Fogel. “Downtown Houston has seen a substantial increase in multifamily development due in part to incentives provided by the city’s Downtown Living Initiative, as well as the progression of its retail sector. This has created an ideal environment for new investments such as Sovereign at the Ballpark, which is perfectly positioned to accommodate the surge in demand from an assortment of residents.”
Sovereign at the Ballpark encompasses six stories over a two-level, concrete parking structure and features diverse amenities including a swimming pool, fitness center, game room, golf simulator, clubhouse, coffee bar and barbecue grills. In-unit amenities include stainless steel appliances, granite or quartz countertops, walk-in closets, plank-wood flooring, as well as washers and dryers. The Property’s position within the highly walkable and rapidly redeveloping Warehouse District of Downtown Houston is within close proximity to Minute Maid Park, Discovery Green, the George R. Brown Convention Center, Toyota Center, historic Market Square Park, as well as numerous shopping, entertainment and dining options.
Sponsor Mr. Krivor stated, “ACRES is fully aligned with our vision for Sovereign at the Ballpark, and was able to provide the attractive loan terms and flexibility required to complete the project. This development will be an excellent choice for residents looking to take advantage of everything the booming Downtown Houston neighborhood has to offer, further contributing to the submarket’s transformation into a true live-work-play setting.”
Downtown Houston is home to 20 Fortune 500 companies such as NASA, Occidental Petroleum Corporation, The Phillips 66 Company, Sysco, and Waste Management, Inc. The city’s North Houston Highway Improvement program, expected to begin this year, will further improve mobility in the area and allow residents to travel more easily between neighborhoods.
About ACRES Capital
ACRES is a balance sheet lender and SEC-registered investment adviser that provides debt capital solutions for the commercial real estate industry on a nationwide platform. ACRES seeks opportunities in the $10 million to $75 million range on stabilized and transitional properties including multifamily, retail, office, hospitality, and industrial. ACRES has originated nearly $1.5 billion of loans since inception.