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Last Updated: March 19, 2015 01:03pm ET
Orange County Firm Picks Up Properties
By David Phillips | Orange County
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TwinRock Rock Partners, a real estate investment firm headquartered in Newport Beach, CA, has acquired
a 254­unit apartment complex in Oklahoma City, and is pursuing the purchase of a multifamily property in
Stateline, NV, near South Lake Tahoe.
Alexander Philips, TwinRock CEO and investment officer, said the firm’s impending purchase of the 38­unit Stateline
apartment property is a tactical step in TwinRock’s 2015 strategy to expand its investment horizon to new market areas. TwinRock Partners of Newport
Beach has acquired a Nevada
multifamily property and an asset
in Oklahoma City.
TwinRock’s primary investment target during 2014 was Oklahoma where it invested about $50 million in multi­family assets in
Tulsa and Oklahoma City. Philips said his firm expects to invest upwards of $100 million to acquire assets in additional markets
such as Nevada as well as Michigan, Ohio, Wisconsin and Colorado . TwinRock was formed as a real estate investment entity at the beginning of the great recession by Michael
Meyer, Chairman, and Philips, who decided their best bet was uncovering multi­family opportunities in more
affordable markets with a strong potential for future economic and employment improvement. Meyer is a retired managing partner of the former
Kenneth Leventhal & Company CPA and consulting firm and Philips has extensive real estate experience with top investment firms such as
Goldman Sachs, Donaldson Lufkin & Jenrette, and GE Capital.
“The Stateline property called Nevada Royale is our first step into Northern Nevada where we see exceptional opportunities to acquire multi­family
assets at attractive prices,” Philips explained. “We focus on market areas that we believe are benefiting from the economic recovery with an
expanding business base, growing employment, and, due to the largely inactive real estate industry over the past several years, a lack of for­sale
and rental housing. Nevada markets such as the larger Stateline and South Lake Tahoe area are where we feel confident we can purchase multi­
family assets and then add substantial value by upgrading the property’s image, installing new management, renovating the apartment exteriors and
interiors, and rebranding the property’s marketing profile.”
The Nevada Royale complex consists of 28,310 square feet on 1.1 acres in a supply constraint rental market adjacent to the Edgewood Tahoe
Golf Course where the annual Celebrity Sports Golf Tournament is held and it is less than a mile from downtown casinos. Philips said the
property is one of the larger rental complexes on the Nevada side of Lake Tahoe, slightly northeast of South Lake Tahoe. In keeping with
TwinRock’s investment strategy, Philips said his firm will improve and upgrade the complex’s exterior and interior and reposition it as a quality
apartment community with a higher rent profile.
In Oklahoma City, highlighting the core of TwinRock’s investment strategy, is its plan to combine two contiguous apartment projects into a single
community that will benefit from management and leasing efficiencies and operational cost savings to both properties through economies of scale. To do so, TwinRock recently finalized purchase of the 254­unit Esperanza Apartments and is in the process of acquiring the 48­unit Tuscan Villas,
an adjacent, fully renovated rental property. Located in the heart of the Interstate 240 Corridor in South Oklahoma City near major retail
developments, the Esperanza and Tuscan Villas together will consists of 31 residential buildings, a clubhouse and two standalone laundry facilities.
“Our firm's investment strategy has been to identify and take advantage of the continuing unsettled market conditions that resulted from the soft
economic environment over the past several years and we see no reason at this point to change,” said Meyer. “Our multi­family asset pipeline
continues to reflect our confidence in the economic and job growth prospects of selected markets in the Western and Midwest regions. Based on
our research and analysis, we expect MSAs in Nevada and our other target markets to recover at a faster rate than the nation as a whole and create
new investment opportunities.” Do business in the Southeast? Stay ahead of CRE trends and meet the dealmakers at RealShare Atlanta on April 30. Stay tuned for GlobeSt.com's new dedicated Atlanta
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About Our Columnist
David Phillips is a Chicago­based freelance writer and consultant with more than 20
years experience in business and community news. He also has extensive reporting
experience in the food manufacturing industry for national trade publications.
Bio