Joint Venture Closes on One of the Largest Multifamily Transactions in Indiana in 2018
October 31, 2018 Indianapolis, IN
A joint venture between Wilkinson Corporation (headquartered in Yakima, WA) and Torchlight Investors (New York, NY) closed Wednesday, October 31, on one of the largest multifamily transactions in Indiana this year with its purchase of a multifamily portfolio consisting of nearly 2,000 units across five properties. The Atlanta Berkadia office originated the senior mortgage for this acquisition. Wilkinson’s affiliated property management company, Wilkinson Asset Management (“WAM”), assumed management responsibilities of the communities immediately.
This acquisition expands Wilkinson Corporation’s Indiana holdings, which fluctuated recently as the company made several profitable sales of multifamily communities previously held in the state. This is the fourth sizable multifamily portfolio purchased through joint ventures between Wilkinson and Torchlight in the past twelve months.
Properties purchased in the transaction include the largest multifamily community in the City of Indianapolis, Westlake Apartments, consisting of 1,381 units, Villa Nova Apartments (126 units), Wind Drift Apartments (166 units), Woods Edge Apartments (190 units), and Riverwood Apartments (120 units), all located in the City of Indianapolis.
“We are thrilled to partner once again with Torchlight Investors to make a major play in one of our target markets,” remarked George Waymire, Wilkinson Corporation’s Executive Vice President of Acquisitions and Development. “We are confident about growth and stability in Indianapolis, and are pleased to add these properties to our holdings here.”
The joint venture plans to invest several million dollars into the communities with capital expenditures targeted at refreshing the exterior design and amenities, as well as renovating interiors to the apartments and townhomes at most of the properties. “Prime locations in high growth, high-demand suburban areas of Indianapolis make these communities excellent targets for value-add redevelopment,” said Kimra Holcomb, President and COO of Wilkinson Asset Management. “Our team has segmented the portfolio into each of our three demographic-based, lifestyle-specific collections. With the right improvements and management practices, we can position each community to hit a sweet spot with a particular group of renters.”
Riverwood Apartments, located at 5830 River Wood Drive on the desirable northside of Indianapolis, will be rebranded The Preserve on Allisonville, and positioned for renters at the highest end of WAM’s Towne Collection. The community will receive a full upscale renovation to the exterior and all interiors, aimed at targeting middle-class professionals and empty nesters seeking stylish, sizable townhomes and a relaxing, low-maintenance lifestyle.
Woods Edge Apartments (now Parkside at Castleton Square), located at 6401 Woods Edge North Drive, and Villa Nova Apartments (now The Elliott at College Park), located at 8760 LeMode Court (both on the north side), and Wind Drift Apartments (now Lakeside Crossing at Eagle Creek), at 3833 Wind Drift Drive on the west side near Eagle Creek will each be slated for WAM’s Towne Collection. The joint venture plans to renovate most interiors, as well as make a general upgrade to the exterior and amenities of each community. All improvements are designed to cater to the lifestyle needs of upwardly mobile middle-class renters looking for stylish apartments in desirable locations, but with an eye toward value.
Westlake Apartments, located at 6000 Westlake Drive in West Indianapolis, will be rebranded The Boardwalk at Westlake and will fold into WAM’s Village Collection. The community will receive an exterior upgrade and amenity overhaul with upgrades designed to cater to the needs of working-class families, as well as interior renovations to select apartments in the most desirable areas of the community.
Wilkinson Asset Management will begin executing on its plan to rebrand and renovate the communities immediately.
Said Mike Butz, Head of Private Acquisitions at Torchlight, “We are excited to be acquiring our fourth multifamily portfolio with Wilkinson, a highly experienced owner/operator with a demonstrated track record of success. The city of Indianapolis continues to demonstrate substantial growth and this portfolio is well positioned to capture significant upside through the implementation of a strategic renovation program.”