The Praedium Group and McDowell Properties Acquire The Tides in Richmond

Joint Venture Teams Up Again to Acquire Multifamily Property for $37 Million

New York – May 16, 2012 – The Praedium Group, a New York City-based national real estate investment firm, announced it acquired The Tides in Richmond, CA with McDowell Properties, a multifamily investment company headquartered in San Francisco, CA. The 200-unit complex was purchased for $37 million from Jackson Square Properties.

“The Tides acquisition presented an opportunity to purchase a high quality apartment asset located in the San Francisco/Bay area, one of country’s best performing markets,” said  David Dowell, Director and head of acquisitions for Praedium’s Midwest and Pacific Northwest regions. “There is strong demand for this type of high-end residence in such a prime location.”

“The Tides represents our second joint venture with Praedium on a San Francisco Bay Area property in the last 12 months, said Patrick McDowell, President of McDowell Properties. “With the lack of new supply, favorable demographics and a diverse employment base, we expect apartment fundamentals in the Bay Area to be very strong in the coming years.  The Tides is well positioned to take advantage of this as the Bay Area economy continues to grow.”

Developed in 2004, The Tides is a gated community that consists of ten, three-story buildings offering a mix of units with six different floor plans. All homes feature central heat and air conditioning, all electric kitchen appliances, garbage disposals and microwaves. The residences also boast high ceilings, crown molding, full-size washer/dryers and private patios and balconies. The Tides offers numerous community amenities including a heated swimming pool with sun deck and spa, picnic areas and open-air gazebo, gas barbecue grills, playground, executive business center and state-of-the-art fitness center.

The Tides is located in the East Bay region on the eastern shores of the San Francisco Bay and San Pablo Bay in Contra Costa County. The property is ideally situated near several major thoroughfares and residents enjoy great dining, entertainment and retail shops in the vicinity.

As part of its ongoing investment strategy, Praedium continues to manage the properties within its existing portfolio, while also actively identifying and acquiring assets throughout the country through The Praedium Fund VII, L.P., a $900 million real estate private equity fund with purchasing power in excess of $2 billion.

About The Praedium Group

The Praedium Group is a privately-held real estate investment firm focusing on under-performing and under-valued assets throughout the United States. The Praedium Group was formed in 1991 and since inception has completed over 300 transactions representing $9.0 billion of capital, including 70,000 multifamily units and 42 million square feet of commercial space.  Over the past 21 years, The Praedium Group has sponsored a series of seven private equity funds, as well as several separate investment vehicles. The commingled funds and separate accounts sponsored by The Praedium Group have attracted investors that include public and corporate pension funds, financial institutions, insurance companies, foundations and endowments. For more information, please visit www.praediumgroup.com

About McDowell Properties 

McDowell Properties is a real estate investment company that focuses on the acquisition, management and repositioning of multifamily properties in growth markets throughout the United States. The current portfolio consists of approximately 19,000 apartment units.  In addition, McDowell has recently made investments in commercial mortgage-backed securities representing over $2BN of loans.  The company is based in San Francisco and has regional offices in New York, Dallas, and Raleigh.  The senior management team has owned and managed in excess of $7.5BN of real estate in 41 of the top 50 MSAs, with a particular focus on multifamily.  McDowell is currently making investments with discretionary capital as well as through joint ventures with institutional investors. For more information, please see www.mcdprop.com.

West Coast Commercial Real Estate News