04 | 15 | 2013
Holyoke Contributory commits to 3 real estate funds
The $180 million pension fund committed $6 million each to Long Wharf Real Estate Partners IV and TerraCap Partners II, managed by TerraCap Management, and $2 million to IC Berkeley Partners III, managed by Industry Capital.
03 | 21 | 2013
Shadow Tenancy Driving Distressed Deals
Real estate gurus frequently talk about “shadow inventory” in the residential markets. But there’s a similar phenomenon occurring in the commercial real estate markets that should be encouraging for nearly every commercial real estate investor, especially ones involved in distressed deals. This new phenomenon, which we call “shadow tenancy,” refers to pent up demand by prospective tenants for new available commercial space and it can be a significant return driver.
01 | 25 | 2013
TerraCap Partners’ second fund buys Coral Cove Condominiums units
Cape Coral investment fund TerraCap Partners II purchased 196 units, the clubhouse, common areas and associate amenities of the Coral Cove Condominiums for $8.13 million.
01 | 24 | 2013
TerraCap Partners Adds to Investor Relations Team
TerraCap Partners is pleased to announce it has named James Lane as the firm's Director of Investor Relations. In this new role, Mr. Lane will communicate directly with TerraCap's existing clients and also use his contacts in the institutional investor community to assist the firm in raising capital for its latest real estate private equity fund, TerraCap Partners II, as well as the firm's future funds.
01 | 02 | 2013
TerraCap backed by University of Florida
TerraCap Management has held a second close on $30 million of equity for its latest fund, TerraCap Partners II, with a commitment coming from the University of Florida's endowment fund and several family offices. The University of Florida has committed $5 million to the vehicle, which specialises in making investments in small distressed properties.
12 | 28 | 2012
So far this year, TerraCap’s second fund has acquired two hotels in Fort Myers Beach and Bonita Springs, office buildings in north Fort Myers and Bonita Springs, a 196-unit apartment building in Cape Coral and 280 acres that would allow for 1.5 million square feet of development.
“With our joint-venture partners, we have acquired about $32 million worth of assets in nine transactions and those transactions were either note acquisitions or bank properties,” Hagenbuckle says.
12 | 24 | 2012
Bob Gray - Real Estate Finance & Investment 2013 Outlook
We’re starting to see a recovery take root, particularly led by the residential sector. This recovery is starting to be accepted broadly and is well-tracked by statistics from the Case-Schiller Index. Residences are stabilizing and rising in value and the health of the homebuilders has never been better. They used to be very highly leveraged but now their balance sheets have a lot more cash and a lot less debt. The criticism that people have been husbanding cash, with no hiring or expanding, is starting to change. We’re seeing the multiplier effect—if you hire more people, they will spend more money—in some of our target markets.
12 | 21 | 2012
Private Equity Guru Discusses Housing Boom Impact
"Buying and selling in the residential market continues to improve at a steady clip despite the lack of adequate supply of new housing out there,” Stephen Hagenbuckle, founder of the real estate private equity firm TerraCap Partners, tells GlobeSt.com. “We expect this activity to transfer over into the commercial real estate market at some point as banks accelerate unloading foreclosed office buildings and retail space."
12 | 17 | 2012
TerraCap Partners acquires Ft. Myers office building
TerraCap Partners has paid $435,000 for a 10,000-square-foot office building in North Ft. Myers, the company announced today. The property, which is located near the corner of U.S. 41 and Hancock Bridge Parkway, was purchased for less than 50 percent of replacement cost, according to TerraCap. “This acquisition demonstrates the strength of TerraCap’s distressed commercial real estate strategy,” said W. Stephen Hagenbuckle, founder and co-managing partner of TerraCap, which plans to lease the remaining space in the building. Two tenants currently occupy 3,000 square feet at the property.
11 | 15 | 2012
Distressed Hampton Inn Trades for 50% Below Replacement Costs
“Many factors are attractive locally and more broadly in Florida and for Fort Myers as a submarket within a state that has many appealing attributes,” Gray says. He pointed to a rapidly growing population over a sustained period, recovering housing market, limited space for new development, and job creation, along with attractive climate, modern infrastructure, low taxes, and low cost of living.
11 | 14 | 2012
TerraCap Partners Acquires 120-Room Hotel in Fort Myers Beach, FL
This acquisition is just one of several recent purchases from TerraCap Partners II, the firm’s latest opportunity fund. So far, TerraCap’s second fund has made nine investments comprising more than 600,000 square feet of apartments, office, light industrial, hotel and mixed-use properties and 330 acres of land. The firm is close to completely harvesting its first fund, launched in 2009, whose purchases of distressed Florida real estate have recorded IRRs of approximately 30 percent.
11 | 07 | 2012
TerraCap Fund Lines Up Capital
The fund focuses on Florida, where TerraCap founder Steve Hagenbuckle has 15 years of experience. It will also look at investments across the South, as far west as Texas. Hagenbuckle is telling investors that he plans to capitalize on banking-industry relationships he developed as an early backer and former board member of Landmark Bank of Fort Lauderdale, Fla., and an online affiliate, Giantbank.com. TerraCap was co-founded by Hagenbuckle and Michael Davis in 2008. Last year, the firm hired Cantor Fitzgerald and Morgan Stanley alumnus Bob Gray to help with fund raising and other duties.
11 | 02 | 2012
Bob Gray, TerraCap Partners
The climate for real estate investing is the best we have seen in a generation, especially commercial real estate in the Southeast and Florida. While stocks have been volatile over the past year and bonds are at dangerously high prices with very low yields, commercial real estate is just beginning to recover. Banks in the Southeast and elsewhere are being forced to sell commercial properties, including condo developments, hotels, office buildings and light industrial properties, at attractive prices. If you know the market and can get access to these deals, you are looking at very attractive rates of return. Florida, especially, is an area of increasing population growth and limited supply of housing – good demographic trends for real estate investment.
10 | 31 | 2012
Stocks End Flat, Dow Falls 2.5% for October
"While in the immediate term there is devastation in the wake of this storm, the rebuilding process afterward will create substantial demand for building materials and services," said Robert Gray, managing partner of TerraCap Management. "This is at least a near-term virtuous cycle where jobs are created, sales are enhanced, and workers increase savings which are in part used for housing. Retail, warehouse, retail, and office, and hotels all benefit as well."
10 | 30 | 2012
US Home Prices Climb for Seventh Straight Month
Robert Gray, managing partner of real estate private equity firm TerraCap Management, said the residential recovery bodes well for the commercial sector: "We think the commercial real estate market, including hotels, office complexes and some retail properties, will now start to recover. Those who missed the boat on the residential recovery would be wise to look into commercial real estate."
10 | 25 | 2012
REFI TV: Bob Gray, TerraCap Partners
Bob Gray, managing principal of TerraCap Partners, sees opportunity in buying high-quality properties in distressed situations in the Southeastern U.S. for its new investment fund. In particular, Florida looks like an attractive place to be. "Florida has very ffast population growth. It's a peninsula, it has limited supply of properties. Click here to watch the interview.
9 | 17 | 2012
New Fund Targets Southeastern U.S.
TerraCap singled out Florida for its disproportionate population
growth compared to the rest of the U.S. According to Gray, Florida has averaged about 2.6% growth annually compared to 1% throughout the greater U.S. There are also market factors that encourage population growth, including government incentives within the state that entice businesses to move there.
9 | 17 | 2012
In the Know: What is happening at former AmericInn?
"This hotel was very outdated, so bas ically, we want to update it," Archer said. "We are jus t in the middle of remodeling. We are really excited. It's going to be a fantastic product when we are done."
9 | 10 | 2012
TerraCap Partners Acquires 11,000 Sq. Ft. Office Space in Bonita Springs, Fla.
TerraCap Partners is pleased to announce it has closed on a deal to purchase the Coconut Office Center in Bonita Springs, Fla. Located at 23421 Walden Center Dr., the property contains three floors totaling 11,000 square feet of newly-constructed office space located directly across the street from the Coconut Point Mall.
8 | 09 | 2012
Piedmont Investment Advisors and TerraCap Opens Second Real Estate Opportunity Fund
William Militello, Founder/Managing Principal at Piedmont Investment Advisors said, “At Piedmont Investments, we believe that the price correction in commercial real estate has created tremendous value. And we want our clients to gain exposure to this asset class along with the experience, track record and professional management that Terra Cap brings to the table.”
4 | 23 | 2012
Investor TerraCap Partners II buys Bonita Springs Lodge, Suites
Cape Coral investment fund TerraCap Partners II purchased the 87-room Bonita Springs Lodge and Suites for $2.85 million.
4 | 16 | 2012
TerraCap Partners buys The Loop for $11.75 million
“We have been working with the city of Punta Gorda,” says TerraCap Managing Director Michael Davis. “It’s not within the city limits, but we are discussing the possibility of annexing it and the potential land uses. We are considering an outdoor mall product that is similar in design to Gulf Coast Town Center [in Fort Myers]. A mixture of retail, office multifamily residential and possibly a hotel.”
3 | 30 | 2012
Equity Firm TerraCap Partners buys back Estero infill site
"It's in a true infill location that's in extreme high demand from national and regional builders. We have had multiple builders potentionally interested in building on it for next season."
1 | 17 | 2012
TerraCap Opens Second Real Estate Opportunity Fund
TerraCap Management Corp today announces the first
scheduled closing of its second real estate fund, TerraCap Partners II LP. The fund began raising capital for this fund during the summer of 2011 and has a target equity raise of $200 million.
11 | 14 | 2011
Bonita Springs City Council gives OK for homes at Palmira
Palmira managing partner Steve Hagenbuckle said building store and office buildings would not be a smart economic or financial decision because they'd likely stay vacant.
10 | 18 | 2011
More Homes Likely at Palmira in East Bonita Springs
“We prefer that it’s market-driven as opposed to something the organization is forced to do without the demand. Otherwise, we’d have more vacant commercial buildings,” said Palmira managing partner Steve Hagenbuckle.
07 | 22 | 2011
TerraCap Partners buys Palmira Village Land
Gulf Coast Business Review
The vacant property is entitled to serve as a town center mixed-used development for the surrounding Palmira Golf & Country Club community. The land has vested concurrencies for up to 275 multifamily units and up to 100,000 square feet of commercial space. The real estate investment firm considers the property a long-term hold, says TerraCap Partners’ general partner W. Stephen Hagenbuckle. “We’re inventorying it for the moment,” Hagenbuckle says. “It’s a great site. The Palmira [Golf &] Country Club is a fantastic community. This is the last developable piece in Palmira.” TerraCap partners recently purchased a similar 26.31 acres of vacant land north of Emerson Square Boulevard near Alico Road and U.S. 41 in Fort Myers for $1.7 million.
03 | 23 | 2011
Naples Rises From Florida Housing Swamp as Wealthy Buyers Return
Land prices are rising as the real estate recovery takes hold, according to Steve Hagenbuckle, managing principal of real estate investment firm TerraCap Management Corp in Cape Coral, Florida. Undeveloped land with zoning approvals in Estero, north of Naples, sold to a public builder he declined to name for $40,000 per quarter-acre lot. Eight months ago, Toll Brothers Inc. (TOL) bought similar land for
$10,000, he said.
02 | 02 | 2011
TerraCap Fund Oversubscribed
Naples, FL: TerraCap Management Corp today announces the final closing of its first real estate fund, TerraCap Partners LP. The private placement was oversubsccribed by 5%.