Norman Eastwood and Gerald Luterman in Marcus & Millichap'sDallas office have set into play a "take one or all" strategy tohawk a package with assumable debt ranging from $3.8 million forthe lone class B property in Arlington to $17 million for a class Ain Houston. The team expects each asset will bait at least 10offers. The properties, built between 1997 and 2002, have anaverage monthly per unit rent of $849.

The offering's financials have a projected first-year cap rateof 7.22%, according to Eastwood. Total monthly payments range from$36,289 to $184,713. Loans, with terms of five to 40 years, havelockout periods up to September 2006 and four assets tied down withyield maintenance pre-payment penalties. Mortgage interest ratesrange from about 4.9% to 8.8%.

The debt leverage could be the stickling point for aninstitutional investor eyeing a portfolio acquisition since most"do not take anything over 60%," a real estate source tellsGlobeSt.com. The issue is offset, though, by the lack of class Aproduct on the market in Dallas and the quality of Merit'sportfolio. "Other than this portfolio, there is only a handful ofother class A deals, perhaps just five, in Dallas/Fort Worth on themarket today," the source says.