Passco Buys Raleigh Apartments for $31M

Passco Cos. has acquired Wakefield Glen Apartments, a 246-unit property in Raleigh, N.C., for $31 million.

Raleigh, N.C.—Passco Cos. LLC has acquired Wakefield Glen Apartments, a 246-unit property in Raleigh, N.C., for $31 million. It is located in the 2,220-acre Wakefield Plantation master planned community, which consists of hundreds of single-family homes, apartment units and townhouses, as well as several schools, a retail shopping center and a Tournament Players Club golf course.

Built in 2001, Wakefield Glen Apartments consists of one-, two- and three-bedroom floor plans. The property features a variety of amenities, including a resort-style pool, clubhouse, fitness center, community business center, playground and car-care center.

According to Passco, it plans to bring in professional property management, using a national firm, as well as stabilize occupancy and correcting deferred maintenance issues. Passco will also offer residents a number of upgrades, including installing vinyl wood plank flooring in all first- floor units, as well as other interior upgrades such as new appliances and countertops in many units, new cabinets, ceiling fans and kitchen and bathroom fixtures.

Gary Goodman, Passco senior vice president, acquisitions, says that the Raleigh-Durham market has rapidly expanded in recent years, and Raleigh’s employment growth will probably exceed the national employment growth in each of the next four years. That would be a continuation of current trends: for the 12 months ending in October 2013, Raleigh gained nearly 11,200 jobs, according to the Bureau of Labor Statistics.

The catalyst for projected employment growth is Research Triangle Park, a local economic driver, explains Goodman. Research Triangle Park houses more than 170 companies and employs over 38,000 full-time employees, and is about 20 minutes from Wakefield Glen Apartments. The property is also near the University of North Carolina, North Carolina State University and Duke University.