Round Hill Pays $49M for Suburban Raleigh Community

The company financed the purchase with a 12-year, $29.5 million Freddie Mac loan from Walker & Dunlop.
Cortland Cary. Image courtesy of Round Hill Capital

A partnership between Round Hill Capital and Cortland has completed the $49.2 million acquisition of Cortland Cary, a 205-unit community in Cary, N.C., from Leon Capital Group. Walker & Dunlop secured a 12-year, $29.5 million Freddie Mac loan for the purchase, according to Wake County records.

Located at 1106 Scenic Club Drive, the community delivered in 2019. The unit mix includes studio and one- to three-bedroom floorplans ranging from 549 to 1,518 square feet. Amenities include a gym, a yoga studio, a swimming pool, coworking spaces and a dog park. The property is 2 miles from Kite Realty’s Parkside Town Commons, a shopping mall anchored by Target and Harris Teeter. The asset is 18 miles northwest of downtown Raleigh.

The company acquired the asset on behalf of its US Residential Income and Growth Fund, which focuses investments on garden-style communities in the Sunbelt. The fund seeks to establish a sizable multifamily portfolio, citing strong demand from a range of European institutional investors.

Last December, Round Hill partnered with Affiliated Development to invest equity capital in a 230-unit workforce housing project in Lake Worth Beach, Fla. The development is slated for completion in the first quarter of 2021.