LEECHBURG, PA – Private equity real estate group Tryko Partners, LLC has acquired Sandalwood Apartments, an 86-unit affordable housing rental community in Leechburg. The investment continues Tryko’s growth in the greater Pittsburgh market, where it owns and manages nearly 1,500 apartments.
Tryko, which specializes in project-based, Section 8 Homeowners Assistance Program (HAP) transactions, purchased Sandalwood Apartments from American Housing Partners, Inc. Located on 10 acres at 253 Sandalwood Drive, the property consists of 16 buildings including mostly two- and three-bedroom townhomes. Residents enjoy on-site laundry, a community room with kitchen, storage, a playground and basketball court, and proximity to local schools and shopping.
“This is a great property in a quiet neighborhood,” noted Tryko Partners’ Uri Kahanow, director of acquisitions. “From an investment standpoint, it made sense for us to take advantage of the chance to grow our presence in the Pittsburgh region, which remains a prime target market for us. It also fits well in terms of product type as we continue to strategically expand our affordable housing portfolio.”
All apartments at Sandalwood are individually metered for utilities, and recent property improvements include new hot water tanks, flooring, carpeting and cabinetry. Gas furnaces and refrigerators have been upgraded in most of the units over the past three years as well. Tryko Partners plans to make additional improvements, as needed, to bring the property to its exacting standards.
Marcus & Millichap served as broker in the transaction. CBRE Capital Markets provided financing. “This transaction is our second financing with CBRE through its Freddie Mac platform,” noted Chad Buchanan, Tryko’s chief investment officer. “Even though Sandalwood Apartments is a smaller multifamily asset, their office gave it a level of attention we would expect for a much larger opportunity, along with the best possible execution. We currently are in the process of closing two more properties with CBRE and look forward to continuing this productive relationship.”
The Sandalwood Apartments acquisition continues an aggressive period of growth for Tryko Partners, which is headquartered in Brick, N.J. Affordable Housing Finance recognized the firm among the nation’s top 10 companies for completing both acquisitions and rehabilitations in its 2012 and 2013 rankings. Multifamily Executive in 2013 recognized Tryko among the nation’s top renovators. Established in 1989, the company currently maintains a residential portfolio with more than 5,000 affordable and market-rate units. The organization invests in multifamily properties, healthcare facilities, and tax liens throughout the Northeast including Pennsylvania, New Jersey, New York, Maryland, Massachusetts and Virginia.