NC Community Sold for $38M
- Nov 14, 2018
Dasmen Residential has acquired The Reserve at Magnolia Ridge, a 360-unit apartment community in Cary, N.C., from The Sterling Group for $37.5 million. The deal marks the company’s sixth transaction in the Raleigh-Durham market and its 15th in North Carolina.
“We view the Raleigh-Durham as a market that is getting better and stronger with more jobs, new employment opportunities and continued population growth as a top U.S. destination to relocate to,” Michael Katz, CEO of New York-based Dasmen Residential, said in a prepared statement.
The company plans on rebranding the property, which has 23 garden-style buildings, as Aurella Cary and making interior and exterior upgrades. Apartment interiors will get new quartz countertops and other best-in-class finishes. The outdoor amenities, including the clubhouse, pool, tennis court, fitness center and dog park, will be renovated.
“We are extremely focused on enhancing the living experience for the current and future residents of Aurella Cary. We work hard to bring value to the cities we operate in and improve the lives of the residents that live at a Dasmen community,” Katz said.
The Sterling Group had owned the multifamily community since October 2015, when it acquired the property from a joint partnership of Greystone and Quilvest & Partners Properties for $29.3 million, according to the Triangle Business Journal. This is the fifth time the 1980s-era property has been sold in the last 10 years, the Journal reported.
Greystone paid $24.3 million for the asset in March 2014, when the property was known as Cary Brook Apartments.
“We were fortunate to invest in this value-add opportunity in an incredibly strong market,” Sterling Group CEO Larry Swank said in prepared remarks. “We believe Dasmen Residential will continue to experience strong demand for the upgraded product and benefit from the overall capital investment accomplished through our hold period.”
Cushman & Wakefield arranged the latest transaction with Watson Bryant, Paul Marley and Marc Robinson representing The Sterling Group.
Robinson and Bryant, along with colleague Jordan McCarley, represented the seller of another property in the Raleigh-Durham market purchased by Dasmen Residential in August 2017. The Cushman & Wakefield team handled the $22 million sale of Bainbridge in the Park, a 216-unit community in Durham, N.C., for seller PRG Real Estate. Built in 1985, that property had 15 two-story buildings.
Image courtesy of Cushman & Wakefield