Capstone Pays $33M for Memphis Portfolio

Stonegate Apartments. Image courtesy of Yardi Matrix

Capstone Realty and Management has acquired a three-property multifamily portfolio in Memphis, Tenn., totaling 802 units, for $33.1 million, REBusiness Online first reported. The seller was The Chetrit Group. Rosewood Realty Brokers Founder & CEO Aaron Jungrels represented both parties in the transaction.

The largest asset is The Lakes at Ridgeway, a 373-unit community constructed in two phases, in 1973 and 1975. This property traded for $16.5 million, with a $15 million loan from Roc Capital, according to Yardi Matrix data. It comprises one-, two- and three-bedroom floorplans ranging from 650 to 1,600 square feet. Resident amenities include a waterscape, tennis court, swimming pool and playground. It is located at 5995 Waterstone Oak Way, some 15 miles from downtown Memphis and less than a mile from the Hickory Ridge Mall.

Growing portfolio in Memphis area

Stonegate Apartments, also part of the portfolio, is at 4500 Stone Gate Drive. The 208-unit community changed hands for $10.8 million, with a $12.2 million loan from Roc Capital, according to Yardi Matrix. It incorporates one- to three-bedroom apartments ranging between 750 and 1,030 square feet, across 20 two-story buildings. The asset also includes facilities such as a swimming pool, spa and fitness center.

The 220-unit Reserve at Mount Moriah is the third property in the portfolio, comprising 25 buildings. It has one-, two- and three-bedroom layouts, ranging between 850 and 1,200 square feet. Located at 2778 Pickering Drive, it is less than 2 miles from The Lakes at Ridgeway. In its vicinity there are numerous dining and retail options. It is also some 10 miles from the Memphis International Airport.

Over the past 12 months, 32 properties changed hands in metro Memphis, Yardi Matrix data shows. In August, Blue Magma Residential bought a 1,000-unit asset, involving an $82 million loan.