(Read more on the multifamily market.)

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[IMGCAP(1)]BATON ROUGE, LA-A nonprofit agency has sold atwo-asset portfolio, totaling 559 units, to NHP LLC of New YorkCity for $16.5 million. The 313-unit Copper Ridge Apartments and246-unit Magnolia Trace Apartments provide low-income housing, bothof which are tied to tax free mortgage revenue bonds.

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Gregg Cordaro, president of Cordaro Cos. in Baton Rouge, saysSheltering Palms-Baton Rouge LLC, also from Washington, DC, heldthe 98%-occupied portfolio for close to seven years. Thedisposition was characteristic of the agency's planned holdingperiod, which is five to 10 years, Cordaro says.

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"These were offered as a package deal because they were tiedtogether through bonds," Cordaro tells GlobeSt.com. He andHendricks & Partners' senior brokers Jim Hearn in Houston andArt Wadlund in Tucson marketed the package.

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Cordaro says the mortgage revenue bonds mandate that 20% of thetenants must earn 80% or less of the region's median annual incomea specific income in order for the owner to receive tax exemptionon the portfolio. In Baton Rouge, the median household income is$55,000.

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[IMGCAP(2)]Cordaro says the portfolio attracted 12 offers,adding the New York City buyer was selected because of itsknowledge of bond programs. "The buyer had a long-term play forboth properties, which need deferred maintenance," he says."They've got long-term plans and fixes for the roof, the sidings,interiors and landscaping."

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The 35-building Cooper Ridge Apartments at 2080 N. Lobdell Ave.was built in 1976. Magnolia Trace Apartments, a 39-buildingdevelopment, sits at 11581 N. Harrells Ferry, about seven miles tothe northwest. Both complexes contain one- and two-bedroom units,averaging 904 sf. Rents average $516 per month.

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