Working With the Northern Illinois Food Bank

May 8th, 2020

Several T2 personnel recently took some time to volunteer together at the Northern Illinois Food Bank.  In its ongoing effort to serve those in need, T2 is especially grateful to do so in these uniquely trying times.

Northern Illinois Food Bank

Joint Venture Invests in Quality, Affordable Living Units

January 13th, 2020

T2 Capital Management, LLC (“T2”), an Illinois-based real estate investment company, today announced an investment in Kissimmee, Fla. Utilizing the T2 Opportunity Fund V, T2 is continuing its growth in the workforce housing space through its acquisition of the 555-room, 292,450 SF Red Lion hotel at 7300 West Irlo Bronson Highway in Kissimmee. Situated on a 15.8-acre site directly across the street from Disney World, the hotel will be converted to a 339-unit multi-family property that includes ±28,000 SF of retail space. The property will be commonly known as “Maingate Village.”

With construction scheduled to commence in February 2020, and completion expected in early 2021, the multi-family units will be delivered in phases and are expected to largely cater to Disney personnel and local service professionals. Disney is the largest single-site employer in the USA with over 74,000 employees within the Orlando Metropolitan Area.

“We’re excited to bring a much-needed housing solution to the many service professionals and their families within an area in which it is challenging to find quality, affordable housing,” said Jeff Brown, Co-Founder and CEO of T2 Capital Management. “We are particularly enthusiastic about this location, situated near one of the largest theme parks in the world, to utilize our capital and invest in workforce housing.”

Rental rates at Maingate Village will start at $725 per month and the property will offer resort-style amenities, including three swimming pools, tennis courts, and a full fitness center.

To aid in the execution of the development, T2 has partnered with Orlando-based Cornerstone Asset Services (“Cornerstone”). Cornerstone has an equity position in the project and will be managing the property on a day-to-day basis.

Maingate Village is the latest of several investments that T2 has made in Florida. Other current investments include senior housing, student housing, and residential condominium developments.

Construction Under Way for New Student Housing

November 12th, 2019

Through a joint venture, Campus Realty Advisors has started construction of Catalyst, a new purpose built student housing community adjacent to the campus of Georgia Tech in West Midtown Atlanta. The community will cater to students at the University. The project is expected to be completed and open for occupancy for the start of the Fall semester in 2021.

Catalyst will provide students a safe, convenient place to live that is a just short walk to all areas of campus and within just steps of a trolley and bus stop. The property will have 187 apartment units including 532 bedrooms, and each bedroom will have its own bathroom. It will offer top of the market amenities including a commercial quality fitness center, multiple study rooms in each building, club rooms with collaboration and game areas, a STEM lab, a bike shop and storage area, a sky deck with views of the Atlanta skyline, three relaxing courtyards, a swimming pool deck with grilling and gathering areas, 24-hour package delivery lockers and convenient ride-share pick-up.

Realiance and T2 Capital Management have partnered with Campus Realty in the development. Realiance is a Dutch investment group headquartered in Amsterdam and T2 is a privately held real estate investment firm based in Wheaton, Illinois. Campus Realty is based in Atlanta and will oversee the development and asset management of the property.

Jeff Brown of T2 noted that “This opportunity fits squarely within our strategy. This is the best location for off-campus student housing in the Georgia Tech market. We’re working with Campus Realty on similar properties in other markets, and this type of location and product offering is always in high demand.” Alf Span of Realiance added “We’re excited to offer Georgia Tech students the location and amenities that will help them excel in their campus life.” Randy Herron, a Principal with Campus Realty, commented “Our approach is to find properties that are walkable to campus and build communities specifically to meet the needs of the university’s students. We look forward to creating a quality living and learning experience for our residents and value for our partners.”

Loan Closing in Naples, FL

October 1st, 2019

T2 Capital Management, LLC (“T2”) is pleased to announce its most recent loan closing via the T2 Strategic Real Estate Income Fund (“SREI”). The $14.2 million 1st mortgage loan closed in August 2019 and will be used to facilitate the completion of construction of a single-story, class ‘A’, 50-unit/54-bed memory care facility in Naples, Florida.

The facility will be commonly known as “Liana Naples.”T2’s borrower is a private equity firm out of Texas and new client for T2. The borrower started construction in 2017 but stopped in 2018 after uncovering issues with their operating partner. That partner ultimately filed for bankruptcy leading T2’s borrower to temporarily mothball the project, payoff the debt outstanding on the property, hire new 3rd parties for construction and property management, and ultimately reach out to T2 to finance the completion of construction. With the project now back online, construction is expected to be completed in mid-2020.

The loan is expected to be paid off upon the borrower completing construction and recapitalizing the property with a long-term lender.