DEAL OF THE DAY: Local Buyer Snaps Up Class B Property, Seller Provides Secondary Loan
Beaumont, Texas -- Atlanta-headquartered ARA arranged the sale of Greentree Village Apartments in Beaumont, Texas.
Beaumont, Texas — Atlanta-headquartered ARA arranged the sale of Greentree Village Apartments in Beaumont, Texas.
On behalf of ARA’s Secondary Markets team based in Austin, Texas, Jeff Patterson and Jon Boone represented the buyer, a Massachusetts-based regional investment group. A California-based private investor sold the property for an undisclosed price.
“Greentree is a unique, B-class apartment community in Beaumont, and offers attributes not available elsewhere in the market,” says Jeff Patterson. “The property is three stories, with interior hallways and elevators. The average size of the apartment units is 948 square feet, which is larger than most of its competitive set.”
“The buyer assumed an existing HUD loan and the seller provided a small, secondary loan to improve the buyer’s leverage,” adds Patterson. “The loan assumption process took a long time and the transaction was not without its share of roadblocks, but both buyer and seller remained very committed to the deal and completed the transaction. I think Greentree will prove to be a good investment for the buyer, and the seller had other plans for their equity.”
“The buyer is very familiar with Beaumont and its fundamentals, already owning several properties in the market,” says ARA’s Jon Boone. “Although there has been an increased level of apartment construction over the past three years, most properties have leased-up well and are now stabilized. The average occupancy in Beaumont was 91.9 percent as of our 1Q 2010 Market Survey.”
Greentree Village Apartments is located at 520 Dowlen Road. Built in 1974, the 250-unit property offers studio, one and two bedroom floor plans averaging 948 square feet. Property amenities include a swimming pool with large sun deck, two tennis courts, fitness center and club room, as well as elevators, laundry facilities and mail centers in each building. Unit amenities include intercoms to each apartment, spacious closets, private patios or balconies, fully-equipped kitchens and tile baths.