Owner / Developer Expands in East Coast with Manhattan, Philadelphia Apartment Buildings
The Orbach Group, a leading owner, developer and manager of multifamily properties along the East Coast, has expanded its holdings with the acquisition of two portfolios located in New York City and Pennsylvania. These newest acquisitions total 635 rental units purchased for an aggregate $70 million, averaging about $110,000 per door.
In the first transaction, The Orbach Group purchased a six-building, 105-unit Manhattan portfolio for $30 million, or $286,000 per unit. Five of the properties are located at 929 - 971 Amsterdam Ave. between 105th and 108th in the West Side. The sixth building is located at Cathedral Parkway off Columbus Ave. Included in the sale were six retail stores leased to credit tenants including Dunkin Donuts, Domino’s Pizza and Subway.
In a second transaction, The Orbach Group acquired 527 units across Northern Philadelphia for $40 million, or $76,000 per unit. Country Commons is a 352-unit apartment complex at 3338 Richlieu Rd. in Bensalem, and Sandy Hill Terrace is a 175-unit complex at 330 Walnut St. in Norristown. Both of these assets included Housing Assistance Payment (HAP) contracts.
The buyer has already begun capital improvement programs for each of the newly acquired buildings. Some of the improvements will include new elevators, upgraded lobbies and exteriors, and plans to fully renovate individual units as needed.
"The Orbach Group acquired these multifamily portfolios because each building is well located in an area with strong demand for high-quality rental properties," said Meyer Orbach, president of The Orbach Group. "The for-sale housing market has still not recovered, placing rental units at a premium. These assets are strategic acquisitions that we expect will deliver a strong return on investment over the long term."
The firm now owns and manages nearly 5,000 units in the Northeastern U.S. and employs nearly 100 people to ensure a quality living experience for its residents. The firm specializes in acquiring and repositioning properties in high-barrier, high-growth markets, and is actively additional properties.
Please see CoStar COMPS #2586902 and #2596942 for additional information on the New York and Pennsylvania sales, respectively.