Multifamily Closings East and West Keep Griffith and Pepdjonovic of M&M Hustling
December 06, 2017 - By The Real ReporterBOSTON – November brought two multifamily trades for Evan Griffith and Tony Pepdjonovic of Marcus & Millichap Investment team; one in Boston’s North End and the other due west in Springfield.
A family-owned 7-unit apartment property located in the North End, at 21 Sheafe Street, sold for $2,530,000. Just two weeks earlier, the brokers closed a more expansive sale: $9,600,000 for a Springfield Portfolio, a 190-unit multifamily asset of four separate properties.
Griffith, first vice president of investments in Marcus & Millichap’s Boston office, said investors are keeping a close eye on North End properties. “The new developments surrounding North Station and the Government Center Garage, known as Bullfinch Crossing, continue to push investor demand for properties throughout the North End,” he affirmed.
Senior Associate Pepdjonovic and Griffith had the exclusive listing to market the Boston property on behalf of the seller as well as procured the buyer, a developer.
“The property had been family owned and hadn’t seen the open market for over 40 years, adding to the allure of the highly sought after North End asset. We saw a very competitive bidding process among local, international, and 1031 exchange buyers,” added Pepdjonovic.
The Springfield Portfolio
Roughly one hundred miles west, in Springfield, the Marcus & Millichap team had exclusive listings to market four separate properties on behalf of the seller, an individual/personal trust; as well as procured the buyer, a limited liability company.
Located at 72 Lawton Street in Springfield, the units are comprised of two studios, 76 one-bedroom apartments, and 112 two-bedroom apartments. On-site laundry and off-street parking are available for tenants. The portfolio consisted of four separate properties: University Arms (96 units), Millennium Apartments (55 units), 183 Boston Rd (24 units), Benton St (15 units).
“The City of Springfield has not seen any new market-rate workforce multifamily construction in the past decade and there does not appear to be any projects on the horizon,” Griffith said.
The portfolio was at 99 percent physical occupancy at the close of escrow. The new investor plans to reposition the property by adding significant capital improvements as well as moving all rents to a market level.
“With no new inventory coupled with the increased economic activity from the MGM Springfield development, owners will continue to see record high level of occupancy rates. The activity was tremendous with over 20 property tours, we saw interest from national and international investors,” Pepdjonovic concluded.
72 Lawton St, Springfield, MA Evan Griffith Tony Pepdjonovic