The just-bought properties are the 264-unit Harbors Apartments at 7550 S. Westmoreland Rd. and 216-unit Plum Tree Apartments at 7676 S. Westmoreland Rd. Closing out its holding in the region, Duncanville Endowment Properties Inc. of Bowling Green, KY, held the assets nearly a decade, both of which were subject to Land Use Restriction Agreements with rent caps. "It's never an issue because no one ever gets close to the ceiling," Tom Burns, senior investment adviser in Dallas for Phoenix-based Hendricks & Partners, tells GlobeSt.com.
The new owner, Florida World Trust, plans to run the 95%-leased properties as one. Both complexes, totaling 17.6 acres, are made up of one- and two-bedroom units averaging 766 sf. The average rent is $568 per month. Burns says Florida World Trust picked up the play for the double deal after nixing another one of his listings for its first multifamily property acquisition.
Situated behind Southwest Center Mall, the properties were on the market five months. The offers produced a selling price that within 7% of the ask, says Burns, who teamed with Hendricks & Partners' senior adviser George Deuillet to negotiate the transaction. The buyer made the close with a 10-year conventional loan with a 30-year amortization through Bank of America. Steven Whitehead with Minneapolis-based NorthMarq Capital Inc.'s Dallas team arranged the financing.
© Arc, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to TMSalesOperations@arc-network.com. For more information visit Asset & Logo Licensing.