Nashville Multifamily Trades for $54M

NASVHILLE, TN—Locally-based Nicol Investment Co. has acquired the Velocity in the Gulch luxury apartment property here for $54.3 million.

The 238-unit mid-rise community located in the city's Gulch neighborhood was sold by a joint venture between a predecessor company run by David Levin and a Chicago-based fund manager, according to HFF, which announced the sales transaction. Levin, formerly of Levin Realty Advisors, and partner Marc Swerdlow, recently launched Magellan Investment Partners LLC in partnership with Magellan Development Group out of Chicago. The HFF investment sales team that represented the seller was led by senior managing director Jason Nettles and director Megan Thompson.

Velocity in the Gulch, located at the corner of 320 11th Ave. South and Pine Street, was completed in 2009 as a condominium and subsequently converted to for-lease multi-housing. The property features 18 different floor plans with condominium appointments. Community amenities include a sky lounge with outdoor fireplace, state-of-the-art fitness center, European-style courtyard with fountain and fire pit, clubroom with coffee bar, and bicycle racks.

“This transaction represents the acquisition of a well-performing, stabilized asset that merges urban infill design and millennial appeal,” says HFF's Nettles."Velocity is poised to benefit tremendously from more than $500 million in ongoing and future investment in the Gulch neighborhood, including nearly 500,000 square feet of Class A office space, a 224-room Thompson boutique luxury hotel and the Sobro-Gulch Pedestrian Bridge. With this acquisition, Nicol Investment Company is positioned to capitalize on this tremendous growth and demonstrated success of the Gulch neighborhood and Nashville.”