SAN FRANCISCO—June 12, 2009—A CIM Group fund has acquired a 24-building portfolio that includes 22 apartment properties totaling 418 units located throughout San Francisco, in a deed in lieu of foreclosure transaction from the Lembi Group. CIM Group had acquired the debt on the portfolio in December 2008.
The properties span the geographic and demographic diversity of the City of San Francisco. Typical of the overall market, this portfolio also has a very high occupancy level.
CIM Group will undertake a comprehensive evaluation of the properties, utilizing its "best practices" model for the ownership and management of the apartments. The Lembi Group will work cooperatively with CIM Group to facilitate the transition. CIM Group has no immediate plans to dispose of any of the apartment properties.
The greater Bay area possesses the attributes that fit CIM Group's investment model, which focuses on urban districts positioned for economic expansion with solid infrastructure and transportation networks. The investment expands CIM Group's holdings in the Bay Area, where CIM Group funds own commercial property in San Francisco and approximately 1.7 million square feet of office properties and two hotels in Oakland.