Crest Asset Management of Arlington acquired the 474-unit Post Windhaven at 6201 Windhaven Parkway in Plano for a partnership led by Rajiv Naidu of Dallas. The deal's been in the market and under contract for so long that several brokers had labeled it closed. But, the transaction just cornered final signatures after a time-consuming process requiring a zoning adjustment because a building encroached on the setback, a Plano official says.
As a result, the transaction's taken five months to close, Kevin Braun, Crest's CFO, tells GlobeSt.com. With the deal tucked away, the Post sign came down and new ones are going up as "Avalon Parc." Though he can't discuss the financials, he did say the 90%-leased asset wasn't shouldering any debt assumption.
Braun says the upside will come with improved occupancy and a market recovery allowing rents to edge up. The 22-acre property, assessed at $26.4 million, contains 34 buildings with a unit mix of one, two- and three-bedrooms. Units range from 674 sf to 1,177 sf. Monthly rents go from $650 to $1,025. Crest will lease and manage the 13-year-old property.
The purchase is Crest's first one this year and first one in Plano. But, Braun says, the plan is to buy "three or four" more class B or class A multifamily properties in Dallas/Fort Worth before the year ends.
Post acquired the property in 1997 as part of the takeover of Dallas-based Columbus Realty Trust. Brian O'Boyle, managing broker of Apartment Realty Advisors in Dallas, steered the sale.
The Atlanta-headquartered Post has seven more properties with 3,468 apartments and land ready to sell in Atlanta and Orlando--all expected to close this quarter. "The sale of Post Windhaven enhances the quality of our portfolio by pruning an older community, decreases our geographic concentration in Dallas, and provides attractively priced capital for a variety of corporate purposes," David P. Stockert, Post's president and CEO, says in a press release. The "to go" list, including Windhaven, is expected to generate gains of $128 million to $130 million, according to the company's 10K report.
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