Forestar Partners with Canyon-Johnson on Multifamily Venture in Austin
AUSTIN, Texas--(BUSINESS WIRE)-- Forestar Group Inc. (FOR) today announced it has formed a multifamily venture with Canyon-Johnson Urban Funds (CJUF) for development of a downtown multifamily community located in Austin, Texas. The project, to be called Eleven, will be located at the southeast corner of East 11th Street and Interstate 35.
Eleven will consist of 257 units in a four-story podium style building above a two-story parking structure. The location affords spectacular views of the citys downtown skyline and the Texas State Capitol, along with convenient access to shopping, dining and the many outdoor and lifestyle activities urban Austin has to offer. Individual units will be available in a variety of studio, loft, one and two-bedroom floor plans, each featuring high quality interior finishes. Common-area amenities will include a resort-style pool, rooftop deck, courtyard with outdoor living area, upscale clubhouse, executive business center, and state-of-the-art fitness facilities. Eleven has been designed to obtain certification by the Austin Energy Green Building program.
The City of Austin in conjunction with the Austin Urban Renewal Agency has invested nearly $20 million into the East 11th Street neighborhood over many years, with the intention of jumpstarting new construction from private developers. The Eleven apartments, along with several new mixed use retail and office buildings, restoration projects and city investment will contribute to the area turning the corner into a growing district.
Forestars multifamily team brings decades of experience developing and building exceptional residential units. We look forward to working with the Canyon-Johnson team to create a successful community on this unique site, notes Tom Etheredge, Executive Vice President Multifamily Operations. This investment is consistent with our multifamily business strategy, which is to leverage our experienced team and corporate resources, while partnering with outside financial capital to create value for our shareholders, partners and community stakeholders. The design of Eleven, which reflects Forestars commitment to sustainable building practices, high-quality construction and extensive lifestyle amenities, will deliver our residents the choices that allow them to live with purpose.
For Austins East 11th Street neighborhood, Eleven is a transformational project that is in line with our commitment to triple bottom line investing, said CJUF Managing Partner and CEO Bobby Turner. We look forward to helping create new jobs and to providing high-quality, affordable housing options for local residents who want to live close to Austins central business district.
We are also excited to partner with such an experienced local developer Forestar has a long track record of developing successful projects, said CJUF Managing Director Neville Rhone, who is responsible for Texas investments.
BGO Architects, an award-winning architectural firm, designed Eleven and the interior design is created by Leslie Fossler Interiors. Groundbreaking on the Eleven site will begin within 30 days.
About Forestar Group
Forestar Group Inc. operates in three business segments: mineral resources, real estate and fiber resources. At the end of the first quarter 2012, the real estate segment owns directly or through ventures over 146,000 acres of real estate located in nine states and twelve markets in the U.S. The real estate segment has 16 real estate projects representing approximately 27,600 acres currently in the entitlement process, and 73 entitled, developed and under development projects in seven states and eleven markets encompassing over 16,000 acres, comprised of almost 27,000 residential lots and over 2,400 commercial acres. The mineral resources segment manages approximately 594,000 net acres of oil and gas mineral interests located principally in Texas, Louisiana, Alabama, and Georgia. Also included in the mineral resources segment is a 45% nonparticipating royalty interest in groundwater produced or withdrawn for commercial purposes from approximately 1.4 million acres in Texas, Louisiana, Georgia and Alabama and about 17,800 acres of groundwater leases in central Texas. The fiber resources segment includes the sale of wood fiber and management of our recreational leases. Forestars address on the World Wide Web is www.forestargroup.com.
About Canyon-Johnson Urban Fund
The Canyon-Johnson Urban Fund is one of the countrys largest private real estate funds focused on the development of urban properties in underserved neighborhoods. Canyon Capital Realty Advisors and Earvin Magic Johnsons Magic Johnson Enterprises joined forces to raise a series of funds to identify, enhance and capture value through the development and redevelopment of real estate in densely populated, ethnically diverse urban communities. Fundamental to Canyon-Johnsons investment thesis is its commitment to a triple bottom line philosophy of achieving superior financial results, fostering opportunities within urban communities, and embracing environmental responsibility. With nearly $2 billion in committed equity capital, the funds are positioned to facilitate more than $8 billion in development and revitalization in major U.S. metropolitan areas. Canyon Capital Realty Advisors is the real estate direct investing arm of Canyon Partners. Canyon and its affiliates are investment management firms and registered investment advisors headquartered in Los Angeles, California, with approximately $18.5 billion in assets under management. For more information, visit www.cjuf.com.
This release contains "forward-looking statements" within the meaning of the federal securities laws. These statements reflect management's current views with respect to future events and are subject to risk and uncertainties. We note that a variety of factors and uncertainties could cause our actual results to differ significantly from the results discussed in the forward-looking statements. Factors and uncertainties that might cause such differences include, but are not limited to: general economic, market, or business conditions; the opportunities (or lack thereof) that may be presented to us and that we may pursue; fluctuations in costs and expenses including development costs; demand for new housing, including impacts from mortgage credit availability; lengthy and uncertain entitlement processes; cyclicality of our businesses; accuracy of accounting assumptions; competitive actions by other companies; changes in laws or regulations; and other factors, many of which are beyond our control. Except as required by law, we expressly disclaim any obligation to publicly revise any forward-looking statements contained in this news release to reflect the occurrence of events after the date of this news release.
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Anna E. Torma, 512-433-5312
Steve Sugerman, 310-974-6680
Source: Forestar Group Inc.Copyright Business Wire 2012