Dunross Capital Expands Georgia Portfolio
The firm purchased two communities located across the street from each other in Decatur, Ga., totaling 486 units.
Dunross Capital, a New York-based real estate investment company, has expanded its Atlanta submarket holdings adding two multifamily properties in Decatur, Ga., with a total of 486 units.
The acquisition of the 250-unit Spring Valley Apartments and 236-unit Park at Candler community boosts Dunross’ assets in Decatur to six and expands the firm’s portfolio to 11 properties and more than 1,800 units acquired in the last year.
The properties were sold by two different owners but the sellers and the prices paid for each asset were not released. Michael Crow, Dunross founder & CEO, told Multi-Housing News the company assumed a $13 million Freddie Mac loan for the Spring Valley Apartments property and originated a new $16 million loan with Arbor Financial for Park at Candler that includes $6 million for improvements. Cushman & Wakefield was the broker for the Spring Valley Apartments transaction and Taycor Real Estate was the broker for Park at Candler, Crow said.
The properties, described by Crow as workforce housing, are located across the street from each other. Spring Valley Apartments has one- and two-bedroom floorplans while Park at Candler has one-, two- and three-bedroom units. Built between 1970 and 1980, the properties will both get interior and exterior upgrades totaling more than $7 million. Dunross has also renamed the assets. Spring Valley Apartments, located at 2823 Misty Waters Drive, is now Hidden Valley and Park at Candler, located at 2571 Candler Road, is called Parc Valley.
“We do our own property management and construction,” Crow told MHN. “It’s easier for us to mobilize and get a lot of work done. We will be doing major upgrades on both of those properties.”
Crow said the both assets have swimming pools, but the company will be “creating a really nice park-like environment with gazebos, trellises and barbecues.” There will be improvements to exterior landscaping, security gates, security cameras and lighting. They will be upgrading the fitness centers, including adding yoga rooms and gyms. Units will get interior upgrades with new European cabinets and full granite countertops, including in the bathrooms. Apartments will be painted, get new light fixtures and wooden floors.
Crow said his company will be working with a partner that specializes in retail and mixed uses and coordinating with the city of Decatur to make improvements in the area that will benefit the apartment residents and neighborhood.
“The master plan is on the order of bringing in Starbucks and other types of high-end retailers people want to have near them,” he told MHN.
Crow said the company is attracted to Decatur in particular because of its proximity to Atlanta and public transportation. It is about 12 miles from downtown Atlanta and 16 miles from Hartsfield-Jackson Atlanta International Airport. A MARTA transit station is close to the properties and Interstates 20 and 285 are also nearby.