Tides Equities Loses Texas Multifamily Property to Foreclosure

The tide is too high for Tides Equities — and for some assets, they’re no longer holding on.

The troubled multifamily syndicator, which has been shedding its portfolio via forced sales since April, lost another Dallas-Fort Worth property this week.

Tides defaulted on a $66.7 million loan from Benefit Street Partners for the 376-unit Tides on Haverwood, at 19002 Dallas Parkway in Far North Dallas. The loan comes out to $177,500 per unit.

The lender took back the property in a $61 million credit bid.

Another property, Tides at Lewisville, at 201 East Round Grove Road in the suburb north of Dallas and Fort Worth, was also scheduled to be sold during this week’s auction, but the sale was cancelled, according to information from Roddy’s Foreclosure Listing Service.

The syndicator, led by Sean Kia and Ryan Andrade, purchased the properties in December 2021, at the height of its Texas multifamily buying spree.

Between 2021 and 2023, Tides took advantage of low interest rates and snapped up nearly 15,000 multifamily units across the state with plans to renovate the units and raise rents.

A few months later, swift rate hikes blew up the cost of floating rate debt, spelling trouble for multifamily operators like Tides.

Throughout last year, the firm was inundated with foreclosures.

Tides at The Real Deal’s L.A. Forum in September characterized the distress stalking their portfolio since 2023 as pains of the past that they’d learned from.

But suits filed late last year that named the principals personally signal problems are proliferating.

Jilted lenders upped the ante late last year when they personally sued Kia and Andrade.

Barry Sternlicht’s Starwood Mortgage Capital, Acres Capital and Rialto Capital Advisors claimed the pair breached guarantees that triggered recourse obligations.

The specter of bankruptcy looms large for the pair as court documents show Andrade could be on the hook for over $30 million and Kia for at least $26 million.