S2 Capital, a national vertically integrated multifamily investment manager, announced the acquisition of a distressed multifamily portfolio consisting of five properties facing foreclosure in Dallas; Nashville; and Knoxville, Tenn.
S2 invested $60 million of rescue capital in a new joint venture with the existing limited partner through a structured preferred equity investment and secured a new five-year, $170 million senior loan through ACORE Capital. S2 will take over as the general partner, with full operational control across property, asset and construction management plus major decision rights to protect the preferred equity investment. The transaction was sourced off-market.
The five properties are located in markets with growing demand for multifamily housing and limited new supply:
Landmark at Gleneagles at 4909 Haverwood Lane, Dallas, offers spacious one- and two-bedroom units; swimming pools with natural landscaping; and easy access to shopp
