TriGate Capital sells the American Can Apartments located in New Orleans, LA

TriGate Capital, in partnership with Audubon Communities and BLT Green Hollow, sold the American Can Apartments in March 2023. The sale price of $68.4 million represented a 5.0% cap rate on adjusted NOI.

TriGate Property Partners III, L.P. acquired the asset in March 2020 through a recapitalization of the existing ownership entity at a price of $48.6 million.

The American Can Apartments are a 268-unit loft-style multifamily community with 22,000 sf of retail located in the rapidly improving Mid City area of New Orleans, LA. Built between 1907 and 1926 as a canning factory and warehouse, the Property was redeveloped in 2001 as a historically landmarked multifamily rental project. The original distressed maple hardwood flooring, floor-to-ceiling windows, and 13’-16’ high ceilings were all incorporated into the renovation making American Can one of the most unique apartments in New Orleans.

Under TriGate’s ownership, American Can received an extensive capital improvement program to substantially upgrade the exterior façade and windows as well as significant common area upgrades. Approximately 20% of the units were completely upgraded with renovated units averaging 20% premiums as compared to unrenovated units.

TriGate’s investment in American Can is congruent with TriGate’s strategy of recapitalizing quality commercial real estate assets and companies. Through its infusion of new equity and residential experience, the property was completely transformed in three short years and sold to a local sponsor aligned with institutional capital.