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FORT WORTH-A syndicated partnership from Santa Monica, CA has bested a field of seven-would be buyers and the $13.5-million ask to win the deed to the 265-unit Vistas at Lake Worth. The cap rate was pushing 7% at the closing table.

The buyer teamed 1031 exchange funds to a 10-year loan at a sub-6% fixed-rate interest to take the deed to 6303 Shady Oaks Manor from Tarragon Corp. of New York City, Jeff Dowdle, senior associate for Marcus & Millichap Real Estate Investment Brokerage Co. in Dallas, tells GlobeSt.com. “That’s the reason the pricing was so aggressive,” he says. “The financing on those sizes of deals is extremely aggressive. It was a Wall Street bank loan.” The loan opens with three years of interest-only payments, according to Dowdle, who teamed with his brother Mark, a sales specialist, to sell the asset. Shane McConnell in Marcus & Millichap’s Newport Beach, CA office represented the first-time buyer in the Dallas/Fort Worth metroplex.

The complex was built in 1965 and underwent a full-body makeover inside and out in 1997. The upgrades included two more residential buildings, clubhouse and a second pool to the 15.9-acre complex, situated within blocks of the lakefront.

Dowdle says concessions are running one to two weeks on a one-year lease. Myan Management Group was hired to oversee the 97%-leased complex, which has efficiencies from 500 sf to a three-bedroom unit with 1,362 sf. Rents go from $490 to $685 per month.

“This is more of a long-term hold capital placement play with the return going back to his investors rather than the upside pop,” Dowdle explains.

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