JLL’s Capital Markets Completes Villa Espada Apartments Sale
The 240-unit community is the first market-rate asset in San Antonio’s Mission del Lago area, which has historically only seen affordable housing.
By Jeffrey Steele
San Antonio—The San Antonio market continues to benefit from multifamily activity born of an energy, tech and medical sector employment boom and resultant economic expansion.
In that environment, JLL’s Capital Markets experts, working on behalf of 210 Development Group, have completed the sale of Villa Espada Apartments. The Class A, 240-unit rental community in San Antonio’s Mission del Lago nook was purchased by Windmill Investments.
“The challenges with this asset were twofold,” JLL Managing Director Scott LaMontagne told MHN. “The first was the fact that it was only 35 percent leased when we took it to market and 50 percent leased when we closed,” he added. “Second was that Villa Espada is the first market-rate asset in an area that has historically only seen affordable housing. We expanded our buyer pool to include opportunistic buyers that do not typically invest in new assets. Ultimately, we picked a private buyer who normally focuses on value-add opportunities.”
The one-year-old Villa Espada Apartments is situated 1.5 miles south of Interstate 410 at 12910 Clubhouse Blvd. The community consists of 11 three-story buildings. The selection of apartments features one-, two- or three-bedroom units.
Apartments provide patios or balconies, roomy walk-in closets and nine-foot ceilings. Enormous windows fill the rooms with natural light. Some floor plans have breakfast nooks and dining rooms, and all kitchens include built-in microwave ovens. Other features of apartments include accent walls, curved shower rods, full-size washer-dryer connections, large vanities and tile surround showers.
Common-area luxury amenities include a pool with a tanning ledge and hammocks, 24-hour fitness center, clubhouse, Internet cafe with coffee bar, pet park, fire pit and barbecue area. Golfers will appreciate the close proximity to the picturesque Mission Del Lago Golf Course.
The JLL Capital Markets team was led by LaMontagne and Senior Vice President Moses Siller. San Antonio’s south side has a constrained supply of Class A multifamily properties, La Montagne said. “As the area’s first market-rate asset, Villa Espada Apartments exemplifies the tremendous economic growth happening here,” he added. “Villa Espada’s high-qualify amenities and location next to the interstate position it to draw strong leasing interest.”
Villa Espada will profit from expansion on the city’s south side and is the area’s “best in class” property, noted Windmill Investments CEO Daniel Carter. “JLL made the acquisition process smooth and we look forward to working with them on our next transaction,” he said.
“At JLL, we have a tremendous relationship with 210 Development, and have played an advisory role on many of their projects. We underwrote this asset before it was built and assisted the seller throughout the initial lease up,” LaMontagne concluded.
Image courtesy of Villa Espada Apartments