Pegasus Acquires Texas Community
- Apr 29, 2020
An Arlington, Texas community will soon receive a makeover after being purchased by Pegasus Real Estate. The company purchased The Vineyards at Arlington Apartments from Arlington Realty Owner De LLC for an undisclosed price.
NorthMarq’s Taylor Snoddy, James Roberts, Philip Wiegand from the Dallas Investment Sales team represented the seller. NorthMarq also arranged acquisition financing and found an equity partner for Pegasus. A NorthMarq team of Stephen Whitehead, Lauren Bresky and William Hancock secured the bridge loan due to the sponsor’s need for funding for the major unit renovation process. The NorthMarq Dallas team also recently arranged the sale of The Vineyards at the Ranch I & II in northeast Dallas.
Located at 2007 Springcrest Drive, The Vineyards at Arlington Apartments was built in 1985 on a 16.4-acre site. The community offers 396 units in one-, two- and three-bedroom floorplans throughout the 31 two- and three-story buildings. The units include a patio/balcony and walk-in closets and the property’s amenities include a swimming pool, a racquetball court, a volleyball court, a business center, a movie theater, a resident clubhouse, a fitness center, a dog park, a picnic area, a playground and an activity center.
Snoddy said in prepared remarks that the community is a great example of a value-add opportunity with a Class B property. Snoddy also said in his prepared statement that Pegasus is planning an expansive renovation to compete with other communities in the market. Pegasus will also be changing the name of the property, according to NorthMarq.
Snoddy added in prepared remarks that the property received a lot of interest and received offers from several buyers. Hancock said in prepared remarks that The Vineyards’ units gave the new owners a blank canvas with a lot of potential, which was pointed out to attract multiple equity groups.
AVERAGE ANNUAL GROWTH IN ARLINGTON
According to NorthMarq, the central Arlington market has seen an average annual rent growth of 6.2 percent in the last five years. Specifically with The Vineyards, the community’s rent has seen a 12 percent increase since 2014. NorthMarq attributed the rent increases to the community’s strong location.
The Vineyards is located near the intersection of Texas State Highways Spur 303 and 360, giving tenants a short commute to the area’s major employers and attractions including the Arlington Entertainment District, the GM Assembly Plant, the Great Southwest Industrial Park, the University of Texas at Arlington and the Medical Center of Arlington.