National Commercial Ventures purchased the complex at 7615 Magnolia Beach Rd. from Campbell Cos. of Baton Rouge, LA in a direct deal. "Due to the influx of residents from New Orleans, the whole Baton Rouge market has great opportunities for rent growth," explains Adam Norvell, who handles acquisitions and dispositions for National Commercial Ventures.
Norvell tells GlobeSt.com that occupancy rates are closing in on 100%. Denham Springs, in particular, is a supply-constrained area due to high barriers for entry. "Denham Springs tends to be very anti-multifamily. There's only one other community in that suburb," he says, "and not any more likely to be built in the near future." Despite the investment promise, he says National Commercial Ventures isn't planning to make any additional investments at this time.
The 2002-completed Live Oak Trace Apartments is 98% occupied, with a mix of one-, two- and three-unit apartments averaging 1,039 sf. Monthly rents range from $400 to $600 per month. The Mitchell Co. Inc. of Mobile, LA will lease and manage the property.
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