Lift

[Pete]

If the apartments on the west side are ready, they just became so very recently.

Went by there today and it doesn't look like anybody is living there yet or perhaps they are just starting to lease those units.

[Pete]

Milhaus looks to recapitalize portfolio
By: Molly M. Fleming The Journal Record March 16, 2017

OKLAHOMA CITY – The Lift is being offered as part of a 13-property, multifamily and mixed-use portfolio, owned and managed by Milhaus. The properties could be recapitalized, or 12 of them could be sold. The Lift isn’t for sale.

Milhaus CEO Tadd Miller said the company wants to keep the Oklahoma City property, but it needs to get new capital on the books.

“It’s an awesome location and we love the city,” he said. “Now is not the time to be selling in the Oklahoma City market.”

The 2,300-unit portfolio also has 122,456 square feet of commercial space. It’s worth between $425 million and $450 million. It spans five other cities: Indianapolis, Louisville, Cincinnati, Memphis, and Milwaukee.

CBRE’s Steve LaMotte and Dane Wilson in the company’s Indiana office are handling the marketing. Milhaus is headquartered in Indianapolis.

LaMotte said there are several investors looking for Class A properties, like the Milhaus portfolio. He said the marketing started with a wide net, and now there are about 250 groups interested in pursuing the properties.

“It could be a single transaction with one group or it could get broken into sub-groupings,” he said. “There could be a single investment group that comes in and recapitalizes Lift, and another group picks up the others. There’s a wide range in which this could all transact.”

He said The Lift is the only one on the list that is not for sale.

“They’d like to stay in as many markets as possible,” he said.

LaMotte said The Lift is an attractive property because of its location, referring to Midtown as a phenomenal area. He said the renter is looking for brand-new Class A properties, which is what the investor wants as well.

He said the viability of Oklahoma City’s economy is attractive to some investors. While some markets may be more stable, Oklahoma City’s robust times related to oil prices are different than other Midwestern cities.

Richard Howell with Holliday American Mortgage said he doesn’t think there will be any issues with finding the capital for The Lift, but that depends on whether the loan is a conservative first mortgage. He said he’s seeing a lot of investors looking for Class A properties.

LaMotte said the first round of offers will be due in April. The group will be narrowed to 15, which will then go to about five. He didn’t have a timeline for when the sale or recapitalization would be final.

“There are still a lot of processes to go on between now and then,” he said.

[onthestrip]

Ya I would say their OKC complex, the Lift, definitely wont be for sale since they received TIF money for it. I believe there is a stipulation on getting TIF dollars and not being able to sell the property for so many years.

But if they did, I guess thats a good way for the city to get out of their payment obligations and would still have a new apartment complex.

[Teo9969]

Has anything ever gone into this property's storefront space? This thing is coming up on 7 years since opening.

[ManAboutTown]

Has anything ever gone into this property's storefront space? This thing is coming up on 7 years since opening.

I drive by there daily. No, nothing has ever gone into the storefront space. It's weird!

[Pete]

Has anything ever gone into this property's storefront space? This thing is coming up on 7 years since opening.

The Edge has a location exponentially better and they've gone through about 10 tenants thus far.

They finally gave up on the corner location and converted it into office space.

The Steelyard still has a bunch of vacant space.

[Teo9969]

The Edge has a location exponentially better and they've gone through about 10 tenants thus far.

They finally gave up on the corner location and converted it into office space.

The Steelyard still has a bunch of vacant space.

Even something like a Great Clips or SuperCuts is better than nothing. Lower the rent a bit and bring something that creates SOME value for the neighborhood. I get that brick and mortar retail is dying, but it's not dead and at some point something is better than nothing.