A joint venture partnership of L5 Investments, Odyssey Properties Group and BH Equities announced today it has acquired The Crossing at Barry Road Apartments, a 624-unit, 95 percent occupied, value-add apartment community located at 7831 N.W. Roanridge Road in Kansas City, MO.
“Our partnership plans to immediately begin a three-year $13.8 million renovation plan on this extremely well-located apartment community. We love this submarket and the accessibility to Zona Rosa Town Center and strong nearby retail and entertainment,” said Michael Flaherty, Founder and Managing Partner of L5 Investments. “We will upgrade unit interiors as they become available, address deferred maintenance issues and improve community amenities and overall aesthetics. Additionally, BH Management, the property management arm of BH Equities, is now in place and will embark on a comprehensive plan to improve management and operations.”
Built in 1997, the garden-style apartment asset is situated on 40.9 acres and includes 54 three-story buildings. The floorplans consist of one- and two-bedroom units with 9’ ceilings, crown molding, oversized closets, private balconies or patios, and some units offer a wood-burning fireplace, lake views, additional storage closets and washer/dryer. The on-site amenities feature a best-in-class clubhouse, fitness center, Starbucks coffee bar, business center, two resort-style swimming pools, lighted tennis court, outdoor picnic and grilling areas and two lakes.
“This property is one of this partnership’s largest and highest profile acquisitions to date and provides a huge amount of upside for us as we seek to meet demand from area residents looking for all the bells and whistles in an upgraded, highly amenitized, yet affordable rental community. This is our fifth apartment community in the Kansas City metro area.”
“We are excited to partner with L5 to grow our presence in the Kansas City metro,” said BH Equities’ Director of Acquisitions Ben Roby. “With this acquisition we exceed 2,000 units acquired with L5 in the Kansas City area and believe it will bring us more operational efficiencies and complement our current portfolio of Whispering Lake, The Reserve at 77, The Meadows, and The Carlyle.”
The Crossing at Barry Road is an iconic, well known property that is ideally located in an area of attractive growth and is directly off Interstate 29 just south of the Barry Road interchange. The property is just eight miles from the Kansas City International Airport which is embarking upon a significant $1.5 billion expansion that is anticipated to create approximately 5,000 to 8,000 construction jobs over the next five years. The community is also within immediate walking distance to AMC Theatres (24 screens), newly opened Main Event Entertainment, multiple restaurants including Texas Roadhouse Steakhouse, and is next door to a planned 60,000-square-foot One Life Fitness Gym. Finally, it is located just one mile from the Zona Rosa Town Center, one of Kansas City’s premier mixed-use lifestyle, fashion and dining destinations, including over 100 merchants and restaurants.
Kansas City is recognized as one of the nation’s most diverse economies and is home to a number of national headquarters including Hallmark Cards, Sprint, Garmin International, Cerner Corp. and AMC Entertainment. Additionally, Kansas City has increasingly become a hub for startups and entrepreneurs that are attracted to the metro’s abundant talent pool and economical office space. Overall, job growth continues in sectors with higher-than-average wages, resulting in above-average growth per capita incomes.
CBRE’s Jeff Stingley, Max Helgeson and Michael Spero represented the seller, a joint venture partnership led by GoldOller Real Estate Investments out of Philadelphia, PA the transaction. This transaction brings the team’s metro sales volume to $500 million since 2018.
According to Stingley, “The Kansas City metro continues to attract capital from across the country. The Northland submarket is especially attractive for multifamily investment due to its phenomenal population growth, award-winning schools, and proximity to employers and amenities.”
About L5 Investments
Founded in 2009, L5 Real Estate Investments, LLC (DBA L5 Investments) is a privately held investment firm focused on value-add, income-producing multifamily properties in emerging U.S. markets. The firm currently has in excess of $525 million of assets totaling 5,100 units under management in seven states. The company targets opportunities that provide high-yield, passive cash flow and long-term capital appreciation for its investors through strategic acquisition, renovation, and superior asset management. L5 and its partners continue to capitalize on opportunities to own multifamily properties in premier locations. These properties generate attractive short-term income and long-term wealth potential. L5’s success and reputation has been built on its track record, conservatism, passion, attention to detail and the belief that trust starts and ends with honesty and integrity. L5 is based in El Dorado Hills, CA.
Odyssey Properties Group, Inc.
Founded in 2004, Odyssey Properties Group, Inc. is a privately held real estate Sponsor that acquires “value-add” multifamily opportunities throughout the U.S. With a portfolio consisting of approximately 4,600 apartments, 1,200 senior housing units, and 1 million square feet of commercial and industrial spread across 14 states and 31 cities, Odyssey is disciplined in identifying investment opportunities that provide superior, risk adjusted returns to its investors.
About BH Equities and BH Management Services
BH Companies are committed to creating value by acquiring, improving and managing apartment communities with the goal of maximizing asset value for their partners. Their success in this endeavor is evidenced by their growth from a start-up firm in 1993 to one of the largest multifamily owners and management companies in the nation. BH Companies is comprised of three divisions including BH Equities, BH Management Services and BH Construction Services. With more than 80,000 units under management in 19 states, BH Management Services, LLC ranked 8th on the National Multifamily Housing Council’s Top 50 Management Companies for 2018, while BH Equities ranked 11th on the NMHC’s Top 50 Owners.
About CBRE Group, Inc.
CBRE Group, Inc., a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (based on 2018 revenue). The company has more than 90,000 employees (excluding affiliates) and serves real estate investors and occupiers through more than 480 offices (excluding affiliates) worldwide. CBRE offers a broad range of integrated services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services.