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GARLAND, TX-A 1031 Exchange buyer from La Jolla, CA has set a per unit sales record for vintage product in the Garland submarket by paying about $3.1 million for the 126-unit Orchard Square in Garland.

The California family trust bundled proceeds from a September sale of an 84-unit property in Irving with 81% loan-to-value financing from the New York City-headquartered Column Financial Inc., Chris Deuillet of Marcus & Millichap’s Dallas office tells GlobeSt.com. Steve Sieling of BMC Mortgage Co. in Dallas arranged the loan.

The Dallas seller of the 96%-occupied property at 1510 Kingsley Dr. was coming off a five-year hold. Deuillet says the buyer had placed the purchase contract before the Irving sale closed after learning the larger asset was available.

Deuillet says he’d been talking with the seller for some time, but he “had a particular strike price. And with prices going up, we were able to hit that price.” The asking price was nearly $3.2 million.

The family trust got a property in good condition with a good location and stable cash flow to fulfill an investment plan for a long-term hold, says Deuillet, who along with Marcus & Millichap’s John Barker represented buyer and seller. The plan is to maintain the Orchard Square name and the rent of 82 cents per sf at the 11-building development positioned on seven acres in a multifamily submarket with overall strong occupancy. According to a third-party research firm, the selling price set a per unit record for 1960-era, garden-style complexes in the submarket.

Built in 1963, the all-bills paid complex contains 14 efficiencies; 64 one-bedroom, one-bath apartments; 40 two-bedroom, one-bath designs; and eight three-bedroom, two-bath units. Units average 718 sf.

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