May 20, 2014 – Parse Capital, LLC, in partnership with DeBartolo Development, LLC, and Paces Properties announce today the acquisition of a vacant 20-story high rise office building in downtown Atlanta, Georgia. The partnership plans to redevelop the building into a 328-unit Class “A” luxury multifamily development scheduled to be completed in the summer of 2015. Parse Capital provided a $14.7 million preferred equity investment to fund the acquisition and redevelopment of the property, which totaled $53 million. “Our ability to offer developers flexibility and certainty of close is key in helping our clients finance multifamily development projects successfully and expeditiously,” said William Trefethen, Managing Partner of Parse Capital. “In this particular case, the developer required reliable execution from an experienced investor that both understood the asset strategy, and took a balanced approach to negotiating the transaction documents.”
DeBartolo Development is a real estate private equity firm that invests in market-driven ground-up developments as well as operating assets. Collectively, they have significant resources and experience successfully developing apartment communities, and currently have over 27,000 units in their portfolio. When completed, the project will feature resort-style amenities including a fitness center, lounge, outdoor pool, landscaped open spaces and streetscape improvements.
“We saw a great opportunity to repurpose a vacant office building in a prime location in downtown Atlanta where there is incredible demand for additional multifamily residences,” said Edward Kobel, President and Chief Operating Office at DeBartolo Development. “People want to live downtown and like many cities across the country there is limited supply of Class A apartments. We believe this partnership will be a tremendous success.”