Mesa Capital Partners has completed another round of fund raising to continue its multifamily acquisition and development strategy. Mesa has secured an additional $75 million in equity capital to pursue $375 million in additional acquisitions and developments.
Mesa remains bullish on the multi-family market after a busy first half of 2014, having completed 10 transactions year to date totaling $230 million in transaction volume. Mesa added over 2,000 multifamily units to its portfolio, representing over $155 million in asset value. Mesa has now acquired or developed 7,276 units and its current portfolio now exceeds 5,300 units. The company has expanded its Southeastern footprint to include assets in Greenville, SC, Birmingham, AL, Jacksonville, FL, Little Rock, AR, and Asheville, NC. Additionally, Mesa formed new joint venture development partnerships with Birmingham based LIV Development and Atlanta based Hathaway Development Partners.
“We will continue to execute our proven strategy of targeting value-add multifamily apartments with our conservative underwriting emphasis focused on recognized property improvements and sound fundamentals and operations. We will also pursue new development opportunities on a joint venture basis with quality development partners in growing, diversified markets throughout the Southeast” said Chairman, Tom Bell. Mesa is poised to add future properties to its portfolio in the coming months. “We will continue to be very active buyers/developers through 2015”, added partner Zach Schaumburg.
In addition to 8 new investments year to date, Mesa sold 2 assets for $62 million including TerraMar, a 310-unit new multifamily development in Destin, FL and Stratford Ridge, a 440-unit older vintage asset in Marietta, GA. Terra Mar was constructed, stabilized and sold within 21 months of project commencement. “The construction and lease-up were executed as well as any ground up project I’ve been a part of” says Managing Partner Jeff Tucker. “Stratford Ridge was sold within 18 months following acquisition and an extensive renovation program with a very favorable result for our partnership.”
“Jeff, Zach and I believe that market fundamentals over the next 18 months will continue to provide plentiful opportunities to support our record of exceptional returns for our investors”, added Bell. Mesa will kick off Fund 5 on September 1,2014.
About Mesa Capital Partners
Mesa Capital Partners is a multifamily real estate investment firm based in Atlanta, Georgia that makes commercial real estate investments on behalf of the firm’s principals and private investors. Since 2010, Mesa has acquired over $550M of assets throughout the Southeastern U.S. Mesa sources, evaluates, and underwrites opportunities and upon investment, executes a strategic business plan for the duration of the hold period. Each asset is unique, requiring a tailored approach to enhance value. Mesa offers a hands-on approach; uniquely able to manage and execute value-add services, improved management, asset re-habilitation, re-development, and/or repositioning programs.