Cedar Grove Capital Buys North Carolina Community
- Aug 16, 2019
A private investor has sold 86 North Apartments, a 144-unit Class B community in Chapel Hill, N.C., to Cedar Grove Capital for $17.2 million, according to Yardi Matrix. The buyer secured $13.2 million in Freddie Mac financing through Greystone. The loan matures in 2029.
Located at 200 Westminster Drive, the community is on the north end of Chapel Hill, approximately 4 miles north of the University of North Carolina’s campus. The property borders a Food Lion-anchored retail asset and is a stone’s throw from Interstate 40. Public bus routes in the immediate area link the asset to Durham, N.C., and the wider metro area.
The asset, built in 1984, contains a mix of one- and two-bedroom units, with floorplans ranging from 706 to 1,015 square feet. The property’s amenities include a swimming pool, laundry facility, playground, tennis court and basketball court. In July, 86 North was 97.9 percent occupied, per data from Yardi Matrix.
Increasing demand—spurred by population and employment gains—has led to significant rent growth in the Raleigh-Durham metro, at 4.4 percent year-over-year through July. As a result, the market has been a hotbed of investment activity: Yardi Matrix shows more than $1.1 billion in multifamily sales have closed this year.