OPPORTUNITY FUND ACQUIRES FIRST DISTRESSED PROPERTY FROM FDIC
SAN DIEGO – June 15, 2010 – Western Residential Opportunity Fund, LLC (“Western”), an affiliate of American Property Enterprises and Reven Capital, announced that it closed escrow on its first property acquisition today, "Sonrisas", located in Murrieta, California. This substantially-improved development site was approved by the City of Murrieta in 2006 for the construction of 60 two-story townhome units, along with a pool, recreation center, and tot lot on the approximate 4.75 acre site. Located at the southeast intersection of Lemon Avenue and Washington Avenue, the site is just minutes from the Interstate 15 freeway, as well as from shopping and schools in the highly-acclaimed Murrieta Unified High School District.
Andrew D. Murphy, Chief Investment Officer of Western and Executive Vice President of American Property Enterprises, said, “We are enthused to acquire such a well-located property in the close-in area of Murrieta. With great freeway access, the site provides an excellent opportunity for a builder to provide affordable homes with terrific proximity to the job centers of San Diego as well as Southwest Riverside County.”
Western acquired the property from the Federal Deposit Insurance Corporation, as receiver for the former construction lender, 1st Centennial Bank. Western estimates that its $716,000 purchase price represents just a fraction of the prior owner’s cost spent on the improvements on the site, and is an even smaller fraction of what the prior owner paid for the land and infrastructure improvements. The previous developer recorded both final maps and condominium plans, in addition to completing the grading and the majority of the wet utilities on the site before losing the site to foreclosure due to the housing market downturn. Said Murphy, “One bright spot of the weakened housing market is that residential investment opportunities are available today at prices that we haven’t seen since early in the 2000’s.”
Western Residential Opportunity Fund is focused on acquiring distressed residential real estate in the Southwestern United States over the next two to three years. Property owners or brokers may contact either Andrew Murphy or Tim McCain at American Property Enterprises at (858) 546-7474, or visit the company’s website at www.propertyenterprises.com. American Property Enterprises is currently celebrating its 25th year as a premier San Diego-based real estate investor and developer.
Reven Capital is a private real estate investment firm focused on opportunistic investing. Based in La Jolla, California, Reven Capital executives have sponsored several private real estate equity funds focused on opportunistic and value-added real estate investments on behalf of institutional, corporate and high net worth investors.
For Information, contact:
June 29, 2010 Andrew Murphy, Executive Vice President
American Property Enterprises (858-546- 7474, x105)