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SAN ANTONIO-Drawing the curtain on a three-year plan to exit Texas, Metra United is bringing the last four complexes from a 10-property portfolio to market. The 1,082 units have hit the streets as a value-add class B portfolio, tagged for sale at just shy of $57.3 million.

Metra United, a partnership between the Alon Group of Israel and a Boca Raton, FL-based partner, plans to focus on its Manhattan office and retail properties after it cuts all multifamily properties loose from its fold. “They were out-of-town owners and their background is that of owning triple-net properties that don’t require active management on their part,” explains Don Ostroff, senior managing director with Cushman & Wakefield of Texas Inc.

Ostroff tells GlobeSt.com that Metra had put a 10-property portfolio of Texas properties on the market in 2004. But, they sold in small blocks and one-off deals instead of trading as a full portfolio as anticipated. “We sold them progressively, one-by-one in an off-market fashion,” he explains. “We hadn’t launched real marketing efforts on any of them since they were introduced to market. Buyers came to us.” The most recent one-off was the 596-unit Promontory Pointe at 4114 Medical Dr.

“We decided to package up these final four and get them into the market in a formal offering,” says Ostroff, whose C&W team includes Lamont Rattler and Jason Boyce. The call for offers is July 19.

Ostroff says the complexes are well located in the north central and northeast areas. Metra has updated the quartet although there is still more work that could be done to pick up additional value-add.

There are assumable loans resting against all four properties, with notes expiring in 2012 and fixed-rate interest of 6.15%. Two are cross-collateralized: the 232-unit Peppermill at 2125 Universal City Blvd. and 244-unit Kenton at 14650 Nacogdoches Rd. The portfolio includes the 140-unit Cimarron at 1950 Universal City Blvd. and 466-unit Sunset Canyon at 2170 Thousand Oaks Dr.

From a portfolio perspective, occupancy is 92%. All complexes are about 20 years old with mixes of one-, two- and three-bedroom units. The quartet has unit averages ranging from 705 sf to 1,061 sf. Average rents go from $627 to $831 per month.

“Assets like these have typically been bought by private parties,” Ostroff says. “In some of the larger markets, we’re seeing institutional buyers taking class B value-adds like these. But in this case, this will likely be bought by private capital guys.”

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