Miami-Based Private Equity Group Galium Capital Expands Houston Portfolio with Acquisition of 431-Unit Tate at Tanglewood

Galium Capital, LLC, a Miami-based private equity group, has announced the acquisition of Tate at Tanglewood in Houston, TX. The Tate at Tanglewood is a 431-unit institutional-grade multifamily apartment building in Galleria District of Houston. The transaction closed on May 27, 2021.

“We are excited to expand our multifamily portfolio in Houston with the acquisition of Tate at Tanglewood. The asset is of great quality and has tremendous potential for improvement, so we look forward to continuing to build its long-term performance with our management partner, Greystar” said Jacques Bessoudo, Managing Partner of Galium Capital.

The Tate at Tanglewood is a luxury apartment community which was developed in 2016 and is located at 5880 Inwood Dr, Houston, TX 77057. The property features 431 units and offers top-tier amenities on 5.3 acres of land. Tate at Tanglewood was 85% occupied at acquisition with an average rent of $1.65 PSF.

Upon acquisition the property will be operated by Greystar, the largest multifamily operator in the United States with over 660,000 units under management.

Units at Tate at Tanglewood range from one to three-bedroom floor plans and 647 SF to 1,462 SF. Residences feature wood plank flooring, granite slab countertops, stainless whirlpool gold series appliances and full-size washer and dryers. Select homes feature two-story loft layouts, barn-style sliding doors, rustic brick arches, 11 ft. concrete ceilings, vertical showers and private yards.

Residents will have access to world class amenities such as a 24-hour clubhouse, state of the art fitness facility including a yoga/spin room with personalized training programs, resort style pool, golf simulator and a private dog park with pet salon station.

“Tate at Tanglewood is an institutional grade community located within one of the best residential areas in Houston with strong upside opportunity. During our ownership we plan to achieve a significant increase in the building’s occupancy and overall performance and expect to see outsized returns as the Galleria submarket continues to grow exponentially” said Jonathan Slomianski, Director of Acquisitions of Galium Capital.

David Mitchell and Tip Strickland of Newmark represented the seller and secured the debt for the buyer.

Galium Capital, owns and manages a portfolio in excess of $515 million of commercial real estate assets across the multifamily, office, and retail sectors in major markets across the United States. The Tate at Tanglewood is Galium Capital’s second acquisition in the Galleria-district of Houston, TX after the group closed on the 361-unit institutional grade multifamily property, Fairmont on San Felipe, in September 2020.

Terra And New Valley Break Ground On Natura Gardens Multifamily Development In Northwest Miami-Dade

Terra and New Valley have broken ground on Natura Gardens, a 27-acre multifamily development encompassing 460 garden-style rental apartments. The news comes approximately one year after the partnership finalized the purchase of a 72-acre development site in northwest Miami-Dade and as the joint venture also completes the sale of the parcel’s remaining 45 acres to Butters and Greystar for $53.5 million. Site work at Natura Gardens is currently underway, with vertical construction expected to take place in Spring 2021. Delivery is anticipated in early 2022.

“Northwest Miami-Dade is experiencing a surge of demand for new residential and commercial development, which is why we initially zeroed in on this parcel as a prime development site,” said Terra CEO David Martin. “Shortly after our JV announced plans for Natura Gardens, we were approached by several developers that shared our vision for bringing new housing options and infrastructure to this part of the County, and that opened the door to selling our originally planned second and third phases of the development site to Butters and Greystar. This is a good example of how forward-looking development that meets market demand can serve as a magnet for new investment in underserved areas.”

Situated along NW 170th Street between I-75 and Florida’s Turnpike, Natura Gardens is located a short drive from several of South Florida’s largest employers, including Boeing, Royal Caribbean International, Preferred Freezer Services, and The Home Depot.

“We were excited to have worked with Terra to complete the vision for this magnificent site and create a balanced sustainable development that will benefit the residents as well as Miami Dade County,” commented Butters Construction & Development, President, Malcolm Butters.

Designed by Pascual, Perez, Kiliddjian Architecture (PPK), Natura Gardens will range from one- to three-bedrooms, measuring between 727 and 1,476 square feet in size. Amenities will include a two-story clubhouse with a resort-style pool and spa; a media room, game room and kids playroom; a children’s tot-lot play area with recreational equipment and electronics charging stations; a state-of-the-art fitness center with yoga, aerobics and spinning studios; co-working spaces and a coffee bar; and a residents-only dog park with site furnishings. Inspired by the area’s natural surroundings, the community will feature lush landscaping, open lawns, lakes and preserves. Residents will also have access to a dedicated walking/running trail throughout the community.

Miami-based Private Equity Group Galium Capital Enters The Houston Multifamily Market With The Acquisition of The Fairmont on San Felipe

Galium Capital, a Miami-based real estate investment group, has announced the acquisition of The Fairmont on San Felipe in Houston, TX. The Fairmont on San Felipe is a 361-unit institutional-grade multifamily apartment building located within the business and Galleria shopping district of Uptown in Houston. The transaction closed on September 21, 2020.

“We have had our eye on the Texas markets for some time, and we are happy to enter Houston by acquiring one of the most iconic multifamily properties in its submarket. The Fairmont on San Felipe is an institutional-grade legacy asset located in one of the most desirable areas in Houston. It is a stabilized asset with significant value add potential, and we look forward to continuing enhancing the building’s long-term performance with Greystar as our partner on the management side.” said Jacques Bessoudo, Managing Partner of Galium Capital.

The Fairmont on San Felipe was developed in 2009 and is located at 6363 San Felipe St. The property features 361 units with 41,383 SF of retail on 6.10 acres of land. The Fairmont on San Felipe was 94% occupied at acquisition with an average rent of $1.61 PSF. Upon acquisition the property will be operated by Greystar, the largest multifamily operator in the United States with over 660,000 units under management.

Units at The Fairmont on San Felipe range from one to two-bedroom floor plans and 609 to 1,403 square feet. The Fairmont on San Felipe also offers residents some of the best amenities in the area including a two-story state-of-the-art fitness center with complimentary workout classes, a resident’s library with work stations, a resident’s lounge, a rooftop garden, courtyard and an outdoor living room overlooking a resort-style swimming pool as well as a second swimming pool on-site. Tenants in the retail properties provide further convenience for residents and include St. Luke’s Hospital, Cafe Adel, University Oaks and La Argentina Gelato & Coffee, amongst others.

“We are excited about our first acquisition in Houston and happy to be entering the market with such a premier asset that is stabilized while having strong upside opportunities. We see tremendous potential for growth in the Houston market as well as in this this asset, and look forward to maximizing performance for our investors during our ownership,” said Jonathan Slomianski, Acquisitions at Galium Capital.  

Jordon Emmott from National Apartment Advisors represented the seller. Matthew Wallach from Walker & Dunlop arranged the financing.

Galium Capital owns and manages a portfolio in excess of $350 million of commercial real estate assets across the multifamily, office, and retail sectors in major markets across the United States. The Fairmont on San Felipe is Galium Capital’s second acquisition of 2020 after the group closed on the 1333 Main St. office assemblage in the Downtown CBD of Columbia, SC. in March 2020.