Acquisition Appetite Grows in Austin
JLL closed the sale of two Austin multifamily properties, Wildwood and Club Creek , on behalf of Lynd Co., and secured $27.8 million in acquisition financing.
By Samantha Goldberg, Associate Editor
Austin, Texas—The Austin multifamily market is heating up with two more acquisitions. JLL’s Capital Markets team closed the sale of 344-unit Wildwood Apartments and 160-unit Club Creek Apartments on behalf of Lynd Co. Local real estate investment company, The PPA Group LLC, purchased the garden-style apartment communities. JLL also secured $27.8 million in acquisition financing through Freddie Mac’s Program Plus®.
Managing Director Scott LaMontagne led the JLL team on the sales and Executive Vice President Mark Brandenburg led the financing efforts.
“Austin is one of the fastest growing metros across the country, which is driving demand for multifamily properties,” said LaMontagne. “Club Creek and Wildwood are located near the city’s largest employers and this bodes well for their future performance.”
Brandenburg added that this was an attractive lending opportunity because of the city’s growing population and the upgrade potential for the properties.
The PPA Group plans to add more improvements to the property, “giving the community an even better place to call home,” said Monte Lee-Wen, president & CEO of The PPA Group.
Wildwood is located on Cameron Road and Club Creek is four miles away off North Lamar Boulevard, both centrally located close to the University of Texas, IBM and Apple offices, The Domain and Lakeline Mall. Built in the mid-1980s, both properties have had som einternal and external renovations by previous owners, and The PPA Group plans to complete the renovations. CLEAR Property Management has been chose to manage the property and help impove operations.
This is the third property The PPA Group has added to their portfolio within the last six weeks.
“This is an attractive investment opportunity that fits within our strategy of finding properties where we can add significant value through renovations in submarkets that are performing well and improving,” said John A. Latham, CIO for The PPA Group. “We expect the residents will really like the upgrades and appreciate the value proposition these properties provide.”
Image courtesy of CLEAR Property Management