Ed Cummins III of the Houston office of Hendricks & Partners tells GlobeSt.com that the property was listed for $7.3 million and sold for just south of its asking price. Seller BKL Texas Investments No. 2 Ltd. of Berkeley, CA owned the 22-year-old property for more than 10 years.

The units were developed as "for sale" four-plexes, but BKL kept buying until it owned the entire complex. Average unit sizes range from 850 sf to 870 sf. The average rent is $631 per unit per month.

Cummins says the property's steady 98% occupancy rate, good location in an older established residential area and 9.5% cap rate make it a good long-term hold for the buyer. The buyer's renovation plan most likely will be followed by rent hikes. The plan to realize the upside potential certainly exists, according to Hendricks & Partners first quarter 2002 multifamily report. Windfern Meadows is situated in a submarket with a 6.8% vacancy rate and a rent average of $714 per unit per month.

Cummins says he is fielding lots of interest from out-of-state investors as they flee the stock market for the security of real estate. Apartment complexes, he says, historically are favorites for investors.