I think that we as an industry, not just the builders and developers but also the financiers etc. should look at affordable development as an asset and not a detriment. A lot of people in the industry look at affordable investment as something they wouldn’t touch due to its complexity, but the reality is that affordable is probably one of the best asset classes to hold, and many times one of the best performing.
Real estate developer Ricardo Pagan has made his mark in New York City and Detroit, but the biggest project of his career aims to change the skyline of downtown L.A.
Pagan, 39, is founder and chief executive of Claridge Properties, one of threedevelopers tasked with erecting the Angels Landing project — a $1.5-billion development that will bring two skyscrapers to the Bunker Hill neighborhood near the historic Angels Flight railway. All of the developers — Peebles Corp. and MacFarlane Partners are the other two — are owned by people of color.
Angels Landing has been touted as a mini neighborhood. The vision for the ambitious project includes affordable as well as market-rate apartments, plus condos, shops, restaurants, two hotels, a park and perhaps even an elementary school, if Pagan’s efforts come to fruition. Representatives for Angels Landing Partners said the school isn’t currently part of the official plan.
Claridge Properties has acquired Northshore Meadows, a 291-unit community in Houston. Berkadia brokered the transaction.
According to Yardi Matrix, the affordable housing property last traded in 2007, when it was acquired by Envolve. Claridge assumed the existing HUD loan of $9.6 million, originated by Prudential Financial in 2007. According to public records, the note carries a fixed interest rate of 4.1 percent over a 40-year term.
Built in 1971, Northshore comprises one-, two-, three- and four-bedroom units, with walk-in closets and stainless steel appliances. Common-area amenities include a business center, clubhouse, playground, fitness center and laundry facilities. The property also has 400 parking spaces.
Located at 333 Uvalde Road, on 11 acres, the community is within 2 miles of Interstate 10 and 13 miles from Downtown Houston.
Berkadia’s team on the deal included Senior Managing Director Ryan Epstein, Director Jennifer Ray and Associate Director Scott Bray. In October 2020, Epstein arranged the sale of Legacy Creekside, a 338-unit community in San Antonio.