TORONTO, Nov. 28, 2013 /CNW/ - Timbercreek Asset Management Inc.
("Timbercreek" or the "Manager") is pleased to announce on behalf of
Timbercreek U.S. Multi-Residential Opportunity Fund #1 (the "Fund"), a
joint venture between Timbercreek and Elco Landmark Residential
Holdings ("Elco Landmark"), that it has completed the acquisition of a
296-unit multi-residential complex located in Orlando, Florida for
approximately $18.5 million. The property contains one, two and three
bedroom apartment suites situated in a garden-style complex, which
includes a clubhouse, two swimming pools, a fitness centre and barbeque
area. This acquisition represents the 7th property acquired since the completion of the Fund's initial public
offering on October 25, 2012.
"We are very pleased to be adding this property to the portfolio as it
not only satisfies our investment strategy, it allows us to further
diversify the portfolio geographically by expanding our reach into the
state of Florida. This property is one of the many value opportunities
we are seeing that are stemming from the correction in the U.S. real
estate market" states Ugo Bizzarri, Managing Director of the Manager
and member of the Investment Committee for the Fund. "We are always
looking to raise additional capital in order to continue to take
advantage of attractive acquisition opportunities."
With this acquisition, the Fund's portfolio now consists of 2,464 units
across seven multi-residential properties located in the southeastern
United States, specifically Austin, Texas, Charlottesville, Virginia,
Charlotte, North Carolina, Chapel Hill, North Carolina, Cary, North
Carolina and Orlando, Florida.
The Fund is focused on acquiring undervalued and/or undermanaged
multi-residential assets located in the southeastern United States, at
an advantageous price and significant discount to replacement cost. The
Fund is sponsored and managed by Timbercreek and operated by Elco
The Fund's primary focus is on enhancing the value of the assets it
acquires by implementing an actively-managed repositioning and
renovation program, designed to invest capital into a property to
improve both cosmetic and structural elements.
The total return objective of the Fund is to generate a 15% internal
rate of return (or average annualized total rate of return) on a
pre-tax basis and net of all fees and expenses, including a quarterly
distribution with an annualized yield of 4%- 5%*.
About Timbercreek Asset Management:
Timbercreek is an active investor, owner, and manager of global real
estate and related assets focused on delivering sustainable and growing
returns to investors. Timbercreek employs a value-oriented investment
philosophy and an active management style with a focus on opportunities
that generate predictable and sustainable long-term cash flow.
Timbercreek currently manages approximately $3.3 billion in assets
through its various private and public funds, predominately focused on
the real estate sector.
About Elco Landmark Residential:
Elco Landmark Residential Holdings is a real estate investment firm that
owns interests in and operates 49 multi-residential properties
containing 15,175 units located throughout the southeastern United
States. The company aims to unlock hidden value and unrealized cash
flow through the below market acquisition and repositioning of
mid-income multi-residential properties in the South, where the
management team has proven expertise and a competitive advantage. Elco
Landmark Residential is headquartered in Tampa, FL and is a member of
The ELCO Holdings family of companies.
Certain statements contained in this news release may contain
projections and "forward looking statements" within the meaning of that
phrase under Canadian securities laws. When used in this news release,
the words "may", "would", "should", "could", "will", "intend", "plan",
"anticipate", "believe", "estimate", "expect", "objective", "look
forward to" and similar expressions may be used to identify forward
looking statements. By their nature, forward looking statements reflect
the Manager's and the Fund's current views, beliefs and assumptions and
are subject to certain risks and uncertainties, known and unknown,
including, without limitation, risks disclosed in the Fund's public
filings. Many factors could cause actual results, performance or
achievements to be materially different from any future results,
performance or achievements that may be expressed or implied by these
forward looking statements. The Fund does not intend to nor assumes any
obligation to update these forward looking statements whether as a
result of new information, plans, events or otherwise, unless required
*Includes the allocation to Unitholders of U.S. taxes paid by the Fund.
SOURCE: Timbercreek U.S. Multi-Residential Opportunity Fund #1
For further information:
Timbercreek Asset Management Inc.