The $125 million sale of a 1,368-unit multifamily portfolio marked one of the largest commercial real estate deals in Wisconsin in 2023 despite limited availability of financing and limited traditional marketing from the brokerage behind the deal.
The deal received a 2024 CoStar Impact Award for sale/acquisition of the year for Milwaukee, as judged by real estate professionals familiar with the market.
Brokers with CBRE said the confidential nature of the sale limited them from sending email blasts or marketing properties for sale via third-party websites, making the deal "one of our most challenging dispositions ever."
CBRE brokers noted in their award submission that they believed the deal was unique because "the variety of assets within the portfolio required a unique knowledge of the buyer pool that would be attracted to each component. The challenging debt markets that initially made pricing go in the wrong direction. The ability of the brokers to counsel the seller, enabling us to pivot and bring in buyers who would eventually maximize net proceeds."
About the Deal: The portfolio sale included 20 properties across five separate transactions allowing a family-owned business to divest their multifamily portfolio spread across eastern Wisconsin.
What the Judges Said: The scope and barriers to getting a deal done made the portfolio sale particularly impressive. "Managing a sale with that many addresses across numerous markets is challenging from a coordination and organization perspective," said Rickey Shneyder, partner with CRUX Commercial Partners. "This massive investment highlights the high demand for assets within our market and the overall strength of our multifamily sector," said James McKenna, real estate advisor for Colliers.
They Made it Happen: CBRE's Patrick Gallagher, Matson Holbrook and Gretchen Richards arranged the sale.