KING OF PRUSSIA, Pa.--(BUSINESS WIRE)--Morgan Properties announced today that it has completed the acquisition of the Silk Factory Lofts, a 116 unit apartment community located in the heart of Lansdale, Pennsylvania. Originally constructed in 1922 as the Interstate Hosiery Mill, Silk Factory Lofts had produced nearly 5% of the country’s silk stockings until the 1940s. In 2004, the property was added to the National Registry of Historic Places. Silk Factory Lofts was renovated in 2008 as an historic rehabilitation and converted into loft-style apartments. Each apartment features upscale, modern finishes. The previous lender GE Capital sold the non-performing loan to a joint venture between Morgan Properties and CBRE Capital Partners.
Morgan Properties has recently expedited the path to owning the property, claiming the asset through a sheriff sale in an auction process. Silk Factory Lofts marks the second distressed note purchase that Morgan Properties has consummated over the last twelve months in the Greater Philadelphia Region.
Morgan Properties is very active in pursuing compelling distressed debt investments in multifamily assets within its Core Markets, comprised of Philadelphia, New York-New Jersey and the Baltimore-DC Corridor. “As a Best-in-Class owner and operator of Class B Apartments, Morgan Properties is currently well positioned to expand our distressed debt investment platform,” said Jonathan Morgan, Director of Acquisitions. “We target acquisitions where we have an attractive going in basis and can capitalize on getting control of the real estate and implementing a value-add repositioning strategy.”
“Silk Factory Lofts is a perfect fit for Morgan given our strong market presence in Lansdale, where we own and operate over 1,000 units and are currently one of the largest landlords in the region,” continued Morgan. Silk Factory Lofts is the fourth acquisition that Morgan Properties has closed in 2012.
ABOUT CBRE Capital Partners - CBRE Capital Partners is the real estate debt investment platform of CBRE Global Investors. CBRE Capital Partners was founded in 2008 in response to the dislocation in the real estate debt markets. CBRE Capital Partners seeks to make investments in new loan originations, performing/ non-performing commercial mortgages, mezzanine debt, real estate debt securities, preferred equity, and B notes. Eligible collateral includes, but is not limited to, office, retail, hospitality, industrial, multifamily, mixed-use, self-storage; land, as well as new development.
ABOUT Morgan Properties - Established in 1985 by Mitchell L. Morgan, Morgan Properties is a real estate investment, development and management company. Morgan Properties currently owns and manages 120 apartment communities with over 30,000 units in the Mid-Atlantic and Northeast Region. As a best-in-class owner and operator of Class B apartment communities, Morgan Properties has a proven track record of creating value through repositioning, rehabilitation and its professional management expertise. Morgan Properties targets investment opportunities within its Core Markets, which consist of Philadelphia, New York-New Jersey and the Maryland-Washington, DC Corridor.