ARA Brokers Student Housing Sale; Properties to be Repositioned
- Jul 29, 2010
Huntsville, Texas — Atlanta-headquartered ARA recently arranged the sale of two multifamily communities in Huntsville, Texas: Cornerstone Apartment Homes with 84 units, and Woodcreek Apartment Resort with 196 units.
On behalf of ARA’s Secondary Markets team based in Austin, Texas, Jeff Patterson and Kelly Witherspoon represented the seller, a Texas-based private investment company. ARA’s National Student Housing Group, also based in Austin, Texas, represented by Chris Bancroft and Chris Epp, assisted in the sale. A private investment group based in San Antonio, Texas, purchased the property for an undisclosed price.
“The robust enrollment growth from Fall 2004 to Fall 2008 of roughly 16 percent at Sam Houston State attracted several developers to the market,” says Kelly Witherspoon. “Ensuing construction added a large number of new units, while year-over-year enrollment growth leveled off at the University, which created softness in the market. However, one thing that will never change, and is always extremely important to students, is location.”
Woodcreek and Cornerstone are both within walking distance of the campus. “There will always be a limited supply of apartment communities that can offer students such convenient access to the University,” says Kelly.
“The buyer is experienced in turning around apartment communities with a large number of students, having experienced success in other college towns in Texas,” says ARA’s Jeff Patterson. “Woodcreek and Cornerstone are perfect candidates for a re-branding.”
Woodcreek Apartment Resort is located at 1235 Josey Street. Built in 1983, the 196-unit property offers efficiency, one- and two-bedroom floorplans averaging 708 square feet. Unit amenities include two-tiered pools and heated spa, large sun deck, beach and water volleyball, beautiful clubhouse and on-site laundry facilities.
Cornerstone Apartment Homes is located at 2209 Bobby K. Marks Drive in Huntsville, Texas. Also built in 1983, the property consists of 84 spacious two-bedroom units averaging 960 square feet, with fully modernized kitchens and a full-size washer and dryer in each unit. The beautifully-landscaped community includes wooded views, swimming pool and hot tub.