X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

MCKINNEY, TX-An Austin, TX private partnership brought an all-cash deal to the table to snag the 202-unit Village of Stone Brooke. The investor acquired the senior citizen independent living facility, which has an assessed value of $13.5 million, out of foreclosure.

Ryan Maconachy with Apartment Realty Advisors’ National Seniors Housing Group in Dallas says the three-year-old asset at 5701Virginia Pkwy. was foreclosed on by MMA Financial in spring 2008. Maconachy, who marketed the asset with ARA’s Ed LaFrance tells GlobeSt.com the product had been on the market since that time.

However, it’s only been since early 2009 that pricing expectations and offers became more realistic. “We had about 10 offers in total, including a lot of folks coming in who lowballed the price, knowing this was a distressed asset,” he comments.

Ultimately, the Austin partners got the nod because they offered all cash, which automatically led to an assurance of closing. “Obviously, with an all-cash buyer, there’s no financing contingency. When it comes right down to it, it’s more attractive when someone can close in a couple of days after due diligence is completed,” Maconachy remarks.

Village of Stone Brooke was 53% occupied at time of closing. According to a press release issued by ARA, the buyer plans an extensive renovation and repositioning plan to rebrand the property. LaFrance, who was quoted in the release, said the buyer expects it will take 18 months for the property to reach stability.

According to the Collin Central Appraisal District, Joplin Partners Ltd. sold the asset to Dallas buyer ZA Virginia Gardens LC in 2005. MMA Financial, operating under the name Munimae Special Purpose Asset Facility LLC took possession of the complex in May 2008. The floor plans consist of one- and two-bedroom units.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 3 free articles* across the ALM subscription network every 30 days
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

GlobeSt. Apartments 2020Event

Join 1000+ of the industry's top owners, investors, developers, brokers & financiers at THE MULTIFAMILY EVENT OF THE YEAR!

Get More Information
 

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2020 ALM Media Properties, LLC. All Rights Reserved.