Steadfast Buys Three Communities for $68M

Steadfast Income REIT acquires three assets for $68 million; a Phoenix asset trades for $30.9 million; and NorthMarq Capital arranges a $24 million Fannie Mae mortgage.

Ashley Oaks

Illinois & Texas—Steadfast Income REIT Inc. has acquired three apartment communities for an aggregate price of $68 million. The properties were acquired in three separate transactions and include assets in Roselle and Palatine, Ill., and one in San Antonio.

“We continue to expand and diversify our apartment holdings across a broad swath of Midwest and Southern states,” says Ella Neyland, president of Steadfast. “We think these assets are consistent with our focus on acquiring established apartments in locations that present strong opportunity for rent growth and value appreciation.”

Ashley Oaks in San Antonio was picked up for $30.8 million. The property is 92 percent occupied and was built in phases with 216 units in 1985 and another 246 in 1995.

Arrowhead Apartments, a 200-unit asset located in Palatine, Ill., and The Moorings Apartments, a 216-unit asset located in Roselle, Ill., were purchased for a combined $37 million. Arrowhead, which was built in 1976, was 98 percent occupied at the time of sale. The Moorings Apartments was 99 percent occupied at sale.

With these latest transactions the REIT has acquired 24 properties with over 5,200 units in nine Midwestern and Southern states for $415 million.

Phoenix Asset trades for $30.9M

Mountain Park

Phoenix—Marcus & Millichap has arranged the sale of Mountain Park, a 240-unit community located in suburban Phoenix. The property commanded a price of $30.9 million, or approximately $128,542 per unit. Marcus & Millichap represented the seller in the transaction, Equity Residential. The asset was purchased by a California-based owner focused on Class A value-add opportunities.

“The investor is acquiring an excellent renovation-ready opportunity with outstanding upside potential,” says Steve Gebing, vice president investments at Marcus & Millichap. “Barriers to entry in this submarket are projected to remain elevated, helping to maximize this high quality asset’s long-term profitability potential.”

Community amenities include two swimming pools, a spa, a fitness center with cardio- and weight-training equipment, picnic areas with barbecue grills and access to the Mountain Park Ranch HOA recreational facilities.

NorthMarq arranges $24M Fannie Mae mortgage

LaVista, Neb.—John Reed, senior vice president and managing director of NorthMarq’s Omaha Regional office, arranged first mortgage refinancing of $24 million for The Pointe and East Pointe Apartments, a 480-unit market-rate multifamily community located in LaVista, Neb. Financing was based on a 10-year term and a 30-year amortization schedule and was arranged for the borrower, Green Pointe LLC, by NorthMarq through its affiliate AmeriSphere Multifamily Finance LLC, a Fannie Mae DUS Lender.

“AmeriSphere did an outstanding job delivering on timing and structure, which were critical in this time sensitive refinance,” said Reed.