ATLANTA, June 1, 2016 /PRNewswire/ -- Preferred Apartment Communities, Inc. (NYSE: APTS) ("PAC" or the "Company") today announced the acquisition of Campus Circle, a 219-unit, 679-bed student housing community located near Florida State University in Tallahassee, Florida. PAC acquired this asset through its wholly-owned subsidiary Preferred Campus Communities, LLC ("PCC"). Preferred Campus Communities financed the acquisition by assuming the existing first mortgage loan with a maturity date of October 1, 2022 and an annual interest rate of 4.02%. "We believe this acquisition represents a strong, strategic move into the student housing sector. This property is well located with easy pedestrian access to campus. We feel the modern features, including a resort-style pool, a fitness center and other student-centered amenities are very appealing to the resident base," said Paul Cullen, PAC's Chief Marketing Officer and Chief Executive Officer of PCC.
Today, PAC also announced that on January 1, 2016 Preferred Campus Management, LLC ("PCM") began operating as a manager of student housing communities. PCM is a wholly-owned subsidiary of Preferred Apartment Advisors, LLC, the Company's external manager. PCM will manage the Campus Circle community for PAC.
In addition to Campus Circle, PCM currently manages seven newly constructed student housing projects in five states having an aggregate of 5,296 beds. PAC provided a portion of the proceeds for the construction of each of these communities for which PAC received an option to purchase following stabilization at a discounted price to market. Upon the acquisition of any of these student housing communities, PAC intends to acquire them through PCC and to engage PCM as its property manager.
PAC is also pleased to announce that Kimberly (Barkwell) Hodge was brought on as President and Chief Executive Officer for PCM at inception. Kim currently oversees all facets of PCM's operations, including strategic initiatives, financial oversight, business services, property performance and company culture enhancement. John A. Williams, the Company's Chief Executive Officer said, "Kim is a seasoned student housing and multifamily veteran with over 35 years of experience in all sectors of property management. We are thrilled that she is leading the PCM team."
Ms. Hodge became a partner at Ambling Property Investments in 2004 and in 2008 was appointed President of Ambling Student Housing/Ambling Management Company. Under her leadership, Ambling operated over 25,000 student housing beds, as well as Ambling's owned portfolio of 83 conventional, senior and affordable housing assets totaling nearly 13,000 units.
About Preferred Apartment Communities, Inc.
Preferred Apartment Communities, Inc. is a Maryland corporation formed primarily to acquire and operate multifamily properties in select targeted markets throughout the United States. As part of our business strategy, we may enter into forward purchase contracts or purchase options for to-be-built multifamily communities and we may make real estate related loans, provide deposit arrangements, or provide performance assurances, as may be necessary or appropriate, in connection with the construction of multifamily communities and other properties. As a secondary strategy, we also may acquire or originate senior mortgage loans, subordinate loans or mezzanine debt secured by interests in multifamily properties, membership or partnership interests in multifamily properties and other multifamily related assets and invest not more than 20% of our assets in other real estate related investments such as grocery-anchored shopping centers, senior mortgage loans, subordinate loans or mezzanine debt secured by interests in grocery-anchored shopping centers, membership or partnership interests in grocery-anchored shopping centers and other grocery-anchored shopping center related assets as determined by our manager as appropriate for us. Preferred Apartment Communities, Inc. has elected to be taxed as a real estate investment trust under the Internal Revenue Code of 1986, as amended, commencing with its tax year ended December 31, 2011.
This press release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These statements may be identified by the use of forward-looking terminology such as "may", "trend", "will", "expects", "plans", "estimates", "anticipates", "projects", "intends", "believes", "goals", "objectives", "outlook" and similar expressions. Because such statements include risks, uncertainties and contingencies, actual results may differ materially from the expectations, intentions, beliefs, plans or predictions of the future expressed or implied by such forward-looking statements. These risks, uncertainties and contingencies include, but are not limited to, those disclosed in PAC's filings with the Securities and Exchange Commission. PAC undertakes no obligation to update these forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events, except as may be required by law.
The SEC has declared effective the registration statement (including prospectus) filed by the Company for each of the offerings to which this communication may relate. Before you invest, you should read the final prospectus, and any prospectus supplements, forming a part of the registration statement and other documents the Company has filed with the SEC for more complete information about the Company and the offering to which this communication may relate. In particular, you should carefully read the risk factors described in the final prospectus and in any related prospectus supplement and in the documents incorporated by reference in the final prospectus and any related prospectus supplement to which this communication may relate. You may obtain these documents for free by visiting EDGAR on the SEC website at www.sec.gov. Alternatively, the Company or its dealer manager, International Assets Advisory, LLC with respect to the Company's Follow-On Offering, will arrange to send you a prospectus if you request it by calling Leonard A. Silverstein at (770) 818-4100, 3284 Northside Parkway NW, Suite 150, Atlanta, Georgia 30327.
The final prospectus for the Follow-On Offering, dated October 11, 2013, can be accessed through the following link:
To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/preferred-apartment-communities-inc-announces-acquisition-of-first-student-housing-community-and-commencement-of-affiliated-student-housing-property-manager-300278172.html
SOURCE Preferred Apartment Communities, Inc.