NAS assumed asset management responsibility of Chartwell Court Apartments in 2015. Revenue increased with a multi-faceted strategy designed to increase occupancy through aggressive leasing. In addition the management team addressed deferred maintenance issues that helped enhanced the residents’ living experience. The property’s exterior was also painted.
The property’s occupancy and revenue growth, along with NAS’ strong reputation for closing, were key factors in securing a capital source for refinancing the asset.
NAS worked with Keystone Mortgage Corporation in securing financing for Chartwell Court Apartments.
“Karen Kennedy and the entire NAS team worked tirelessly to make the Chartwell Court refinance a reality. Their management of the property is the best I have ever experienced; they are my safety net! We spent about two years in court to replace the previous manager and engaging NAS made it all worthwhile. They have that very rare combination of honesty and results. The best thing I can say is that I completely trust her experience and her knowledge, and beyond that I trust her. As far as I'm concerned Karen Kennedy walks on water.”
Ralph O. Farinas, Chartwell Court Apartments TIC Owner
Securing capital for a large tenant-in-common investor group is a highly unusual event.
Chartwell Court Apartments was one of hundreds of properties purchased by TIC investors in the mid 2000’s during the wave of financing with highly leveraged, 10-year CMBS loans. As the commercial market began contracting in 2009, many properties faced economic challenges, due to market conditions as well as mismanagement. With the industry still experiencing the wave of CMBS loan maturities, capital sources are reluctant to refinance a tenant-in-common property, unless the TIC structure consolidated into one legal entity. Refinancing a property with the TIC ownership structure in place, ensures that the investors original 1031 Exchange options remain intact after close of the refinancing.
“Our ability to leverage our strong industry relationships made the possibility of refinancing an 18-member, tenant-in-common property a reality. Refinancing, while keeping the existing TIC structure in place, was the very best possible outcome for our clients invested in this property.”
Karen E. Kennedy, President & Founder, NAS