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April 11, 2005
Belfonti Associates, LLC Reclaims Ownership of Trophy Asset
HAMDEN, CT - Michael Belfonti, President and CEO of Belfonti Associates, LLC, announced today that one of his related entities, Briarwood Connecticut, LLC, has acquired the 176-unit Briarwood Hills Apartment complex for $13,250,000.
The garden-style multifamily property is located at 100 State Street in North Haven, Connecticut. The loan closed on April 29, 2005, at an interest rate of 5.471%.
This particular transaction was especially appealing to Michael Belfonti because his group owned Briarwood over a decade ago. "When the real estate market began its rapid decline in the late 1980s and early 1990s, we chose to sell the asset and create liquidity in an increasingly illiquid market," explained Belfonti.
Over the years the property changed hands several times, and none of the owners made any significant capital improvements. Eventually it was placed back on the market. "When we were given another opportunity to purchase Briarwood at a fair price, we promptly took advantage of it," Belfonti said.
The transaction is tailor-made for Belfonti. Not only does his group have an intimate knowledge of the property, but the Connecticut headquarters of Belfonti Associates, LLC is located just minutes from Briarwood Hills Apartments. "The proximity of the property to our headquarters will allow us to more easily and diligently oversee the asset than the previous owners who were based in California," said Belfonti.
"This acquisition makes economic sense for our company. The barriers of entry on Connecticut garden apartments are fierce, and land costs and zoning restrictions make it almost impossible to build new product," Belfonti said. His group plans to begin work immediately on exterior and interior renovations and will eventually add a new clubhouse and fitness center.
Deutsche Bank provided the loan financing. The transaction was brokered by Epstein Canarick Corporation of Jericho, New York.
Belfonti Companies, LLC Real Estate Development and Investment, with a central office located in Hamden, Connecticut, actively and aggressively pursues opportunities throughout the United States and internationally.