Nashville, Tenn.—McCann Realty Partners has acquired the 366-unit Discovery at Mountain View Apartments in suburban Nashville, Tenn. The buyer didn’t specify a purchase price, but did note that acquisition was funded in part by a seven-year Freddie Mac mortgage loan with a fixed rate of 3.55 percent originated by Jones Lang LaSalle.
According to McCann chief investment officer Brand Inlow, the company believes rents will continue to grow for the next several years, and is actively looking to add more apartments in metro Nashville. “This location is convenient to local employment drivers in downtown Nashville, Murfreesboro, Smyrna, Brentwood and the Nashville International Airport,” he adds.
Currently, Nashville enjoys a 4.6 percent apartment vacancy rate, according to Reis Inc., down from 4.8 percent in the second quarter of 2012. Average rents for the third quarter were up 1 percent from the previous quarter.
The deal represents McCann’s entry into the metro Nashville market. McCann has previously acquired properties in other markets in the Mid-Atlantic, Southeast and Texas, and is developing apartment properties in Dallas, Houston and Orlando.
Completed in 2009, Discovery at Mountain View Apartments will be managed by Pegasus Residential LLC. Amenities at the property include a large clubhouse with a fitness center, a resort-style swimming pool and direct-access garages.