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WOODLAWN, OH-Paladin Realty Income Properties Inc., a Los Angeles-based REIT, recently became part owner of Fieldstone at Glenwood Crossing Apartments, a 266-unit complex in suburban Cincinnati. Under the terms of the joint venture agreement, Paladin now owns a 65% interest of the apartment community. The deal with Carmel, IN-based Buckingham Cos., the original owner and developer of Fieldstone, includes a preferred return for the investor, says Bill Dunbar, Paladin chief investment officer.

Dunbar says that structured transactions like the Fieldstone deal often make more sense for Paladin than traditional acquisitions given the current "frothy" market. He adds that the REIT, which does not have its own management company, likes to partner with strong local owners and operators. "We like knowing that management has an interest in how the property is run," he says.

Built in 1999, Fieldstone was 93% occupied at the time of close, according to Dunbar. The property, which is the multifamily component of the 45-acre Glenwood Crossing mixed-use development, overlooks a 150-acre park and is adjacent to more than 80,000 sf of retail. Amenities include a restored 1800s dairy barn, which offers a full-service fitness facility, a pool, spa, billiards, business center and community center. Monthly rent for the one- to three-bedroom units ranges from $655 to $1,125.