Berkadia announces it has arranged joint venture equity for a 129,250-square-foot medical office building in Houston’s Heights neighborhood. The property was purchased by an affiliate of Simpkins Group Inc., a commercial real estate development and investment firm based in Houston. Houston-based real estate investment firm Weingarten Realty Investors sold the property.
Cutt Ableson, Mark Crosswell and Colin Marusak of Berkadia’s Houston office placed the joint venture equity with a Houston based private equity firm.
“Berkadia has found that in the joint venture equity market, single source checks ranging $3 million to $8 million are becoming hard to come by,” said Crosswell. “Institutional partners place large amounts of capital in a single transaction and typically will not consider smaller deals. Realizing this, we have built relationships with equity partners that are looking to place a smaller amount of capital in each transaction.”
Berkadia’s equity platform in Houston has provided joint venture capital on a variety of transactions for numerous clients. Recognizing an underserved market for joint venture requests around the $5 million mark, Berkadia’s Houston office has developed a tailored approach in identifying equity partners with professional capabilities in executing such specialized transactions.
Located at 1919 N. Loop W., the property is situated within Houston’s Inner Loop, providing easy access from downtown Houston and the rest of the metropolitan area. North Loop Freeway is less than five minutes away, and Memorial Hermann Greater Heights Hospital is adjacent to the property.
About Berkadia®:
Berkadia, a joint venture of Berkshire Hathaway and Jefferies Financial Group, is a leader in the commercial real estate industry, offering a robust suite of services to our multifamily and commercial property clients. Through our integrated mortgage banking, investment sales and servicing platform, Berkadia delivers comprehensive real estate solutions for the entire life cycle of our clients’ assets. To learn more about Berkadia, please visit www.berkadia.com.
