Viking Capital Snaps Up Metro Atlanta Asset for $52M
Some 68 percent of the property's units are slated for capital improvements.
In its 26th acquisition, Viking Capital has purchased Dawson Forest, a 268-unit community in Dawsonville, Ga., near Atlanta. The value-add asset traded for $52 million, with 68 percent of the units slated for capital improvements.
Public records show Walker & Dunlop originated a $35.2 million Freddie Mac acquisition loan. The note carries a 5.65 percent fixed rate and is set to mature in 2029.
The previous owner was a joint venture of REM Finance, Archway Equities, MAC Multifamily Investments, MB Capital Assets and Silver Creek Development, according to Yardi Matrix data. The partnership had bought the asset for $30.2 million in 2015, according to the same source.
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Spanning more than 23 acres, Dawson Forest encompasses 22 buildings with one- to three-bedroom floorplans ranging from 778 to 1,378 square feet. Outside of Viking’s planned enhancements, the community has already underwent improvements, such as swimming pool enhancements and exterior repairs.
Apartments feature screened-in porches and fireplaces in select units, among others. Community amenities include a swimming pool, a gym, a dog park, a car wash and detached, private garages.
Located at 100 Green Forest Drive, the 1998-built property is less than 1 mile from U.S. Route 19—which provides direct access to Atlanta, nearly 50 miles away. North Georgia Premium Outlets, a 140-store shopping center, is 1 mile away.
Viking bullish on Atlanta multifamily value-add deals
Viking’s previous value-add purchase was also in metro Atlanta. The firm acquired Stewart’s Mill, a 188-unit community in Douglasville, Ga., for $28.2 million in 2023. Yardi Matrix data reveals that FCP sold the asset.
Greystone originated an $18.7 million Fannie Mae acquisition loan set to mature in 2029, the same source shows. The note carries a 6.1 percent fixed rate, as well as 12 months of interest-only payments.
Atlanta’s reeling multifamily market
Metro Atlanta’s transactional scene has seen better days, according to a Yardi Matrix report. In the first quarter of this year, multifamily assets changed hands for a combined $368 million, less than half of 2023’s investments in the same period, which totaled $779.6 million. This decline landed on the heels of Atlanta’s 2023 sale figures, which clocked in at $3.4 billion, the lowest investment volume in the past decade.
The metro’s recorded price per unit slid down to $145,800 in the first three months of 2024, well below the national average of $196,096. The figure marked a 21.7 percent decrease from last year’s median price and an even steeper 28.7 percent drop from the peak experienced in 2022.
