The 1960s-era property, Shadow Creek Apartments, had a $5.8million mortgage on it when the Fannie Mae foreclosed, but sold inthe mid $2 million range, according to Rich Mazel, director ofacquisitions for Manhattan Beach, Calif.-based Main Street Partners& Associates.

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Mazel tells GlobeSt. that the private equity fund was one of 12investors that were interested in Shadow Creek Apartments. Theclass C property was listed by Chris Deuillet and Nita Stewart ofCB Richard Ellis' Dallas office.

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Situated on nearly nine acres at 311 S. Industrial Blvd., ShadowCreek Apartments is currently 60 percent occupied. It offers a mixof one, two, and three-bedroom units that range from 648 squarefeet to 2,860 square feet.

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Mazel says Main Street Partners & Associates will invest$500, 000 to $1 million to improve the property. Additionally, thefirm has employed Southlake, TX-based Myan Management to handleleasing and management for the property.

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"We'll make some improvements, lease it up, and probably holdthe property for three to five years," Mazel says, adding that theinvestment will likely generate an IRR in the high teens.

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With the acquisition of Shadow Creek Apartments, Main StreetPartners & Associates now owns more than 450 units in theMetroplex. Mazel says the firm expects to close additionalacquisitions later this year.

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"In general, we're more bullish on places like DFW wherevaluations didn't go crazy and job and population growth isstrong," Mazel notes.

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