The PPA Group, along with a private Israeli investor, has acquired the 236-unit Citation North Apartment Homes in north Houston. PPA, which is based in Austin, is renaming the property Highland Cross Apartments.
The acquisition of the Class C property counts as a value-add play for the PPA Group. The buyer plans renovate the property’s units, addressing deferred maintenance and upgrading the current amenity package.
“The current economic climate is driving a need for more affordable multifamily housing in Houston,” said John A. Lathan, CIO of the PPA Group. “We’ve been noticing this trend for nearly a year now. It’s no surprise the international community is seeing it, too.”
According to data released in late 2016 by Greater Houston Partnership, Houston added nearly 500,000 jobs between 2010 and 2014. The city has continued to post 12-month net job gains throughout 2015 and 2016, though at a slower pace as the energy sector slowed down. The service industry is among the fastest growing sectors, with four out of five workers in the Houston area employed in a service field.
Clear Property Management, a subsidiary of PPA, will oversee all the Highland Cross renovation initiatives. Grandbridge Real Estate Capital facilitated the sale.