SHENANDOAH, TX-Following a lengthy escrow process featuring a HUD loan assumption, a buyer from Saratoga, CA closed on the 220-unit Park at Woodmoor. The new owner plans exterior improvements to the asset, which carried an $18-million price tag.
Built by the Colorado Springs-based Crest-Way Management Inc., Park at Woodmoor was offered for sale by its developer because of market conditions, says Chip Nash, associate partner with Hendricks & Partners' Houston office. Nash, the seller's broker, says the complex at 8787 Shenandoah Park Dr. originally attracted a lot of interest; including that of Broadway Hampton Court LP, which was the buyer.
"When people saw the flyer, there was a tremendous amount of interest, because of the location of the property and its visibility from I-45," Nash explains. "But it began dropping off when they learned a large amount of equity was necessary to get into this deal." Also off-putting to some buyers, he adds, was the assumption of a 40-year HUD loan.
However, the California partnership didn't have a problem with the assumption, plus it had money readily available through a 1031 exchange. "He'd already sold a property in Seattle, and had the funds in hand," Nash tells GlobeSt.com. "That's what made him the right buyer."
Broadway Hampton Court LP was self-represented in the transaction. Winston Black, senior investment advisor with Hendricks & Partners' Colorado Springs office, worked with Nash on behalf of the seller.
Situated on 10.6 acres, the 92%-occupied Park at Woodmoor has 12 two- and three-story buildings offering a mix of one- and two-bedroom units. Sizes range from 758 sf to 1,211 sf, while rents are between $635 and $945 per month.
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