Praxis Capital has acquired The Reserve and Friendly Hills Apartments, two garden-style communities totaling 420 units in suburban Atlanta. Benimax sold the 252-unit property in Lithonia, Ga., and the 168-unit asset in Decatur, Ga., for a total of $40.7 million. Berkadia assisted the seller in the deals and secured $32 million in combined acquisition financing for the buyer.
Located at 5650 Hillandale Drive, The Reserve consists of 19 two-story buildings that were completed in 1988. The unit mix features studio and one- to three-bedroom floorplans averaging 995 square feet. The 21-acre property is adjacent to Interstate 20 and just 2 miles west of DeKalb Medical at Hillandale, while offering easy access to a variety of shopping and dining options along Panola Road.
Friendly Hills, situated at 10 Friendly Hills Drive, offers two- and three-bedroom floorplans ranging in size from 702 to 1,312 square feet. The 20-building community, developed in 1998, is roughly 1 mile east of Wesley Chapel Square Shopping Center, near Interstate 20.
With this purchase, Praxis Capital has increased its Greater Atlanta portfolio to 1,744 units. The investment firm had previously acquired another pair of properties featuring a combined 539 units in Stone Mountain, Ga., for $40.4 million.
Berkadia Managing Director Jackson Cloak secured the acquisition financing for the buyer: A $19.7 million loan from Bridge Investment Group and a $12.3 million Freddie Mac loan for The Reserve and Friendly Hills, respectively. They are both adjustable loans, with a 75 percent loan-to-value ratio.
Berkadia Senior Managing Directors Paul Vetter and Andrew Mays, Senior Director Judy MacManus and Director Matt White represented the seller in the transactions.