RALEIGH, N.C.-Philadelphia-based TRECAP Partners, a managed fundfor institutional investors, has acquired majority interest in a452-unit apartment complex in a joint venture with RobinsonDevelopment Group. TRECAP paid $38 million for its stake inStonehedge Apartments, bringing its year-to-date multifamilyacquisition total to $144 million.

Stonehedge was built in four phases between 1985 and 1993. Thecomplex is more than 95% leased and offers opportunities forcapital upgrades to increase rents in what the company sees as animproving leasing environment.

“The play is Raleigh,” Michael McNamara, managing director andhead of acquisitions for TRECAP, tells GlobeSt.com. “We likeRaleigh because of its strength in intellectual capital. We alsolike the fact that this submarket hasn’t seen anything built inmany years. And we are starting to see improvements in rents in thesubmarket in our existing portfolio.”

The Stonehedge sale continues the Triangle multifamily investmenttrend. Multi-housing transaction volume in Raleigh-Durham rose to$179 million in the third quarter, bringing total sales volume to$378 million for the year, according to Grubb & Ellis. Demandfor multi housing assets has become increasingly competitive in theTriangle, the firm reports, and a significant number of propertieshave been placed on the market in recent months as owners seize theopportunity to capitalize on strong pricing fundamentals.