Virtus Acquires Austin Property from Internacional Realty

Caliza is situated in the Austin suburb of Cedar Park, Texas. Image courtesy of JLL Capital Markets

Virtus Real Estate Capital has acquired Caliza, a 270-unit, Class A garden-style community in the northwest Austin suburb of Cedar Park, Texas, from Internacional Realty.

Caliza, which was built in 2020, has one-, two- and three-bedroom floorplans and units with modern finishes that include 14-foot ceilings, direct access garages and private yards. Community amenities include a recently renovated resort-style swimming pool, clubhouse with a catering kitchen and outdoor pavilion with an exterior fireplace.

The property is near several highly regarded neighborhoods, including Anderson Mill, Cypress Mill and Avery Ranch. Some of the city’s main economic drivers including The Domain, a premier mixed-use hub, and Dell Technology’s campus are nearby. Highway 183 and Highway 45 are located nearby, as is Lake Travis.

JLL Capital Markets advised the seller in the transaction. The purchase price of the asset, which is located at 12638 Ridgeline Blvd., was not disclosed. The JLL Capital Markets Investments Sales and Advisory team representing Internacional was led by Managing Directors Ryan McBride and Robert Arzola.

Christopher Kott, managing director at Austin-based Virtus, said in a prepared statement that deal is representative of the firm’s investment strategy of finding well-located, institutional quality opportunities in markets with long-term secular growth tailwinds.

The privately-held buyer focuses on cycle-resistant sectors, including healthcare, education, storage and middle-income workforce housing. Since its founding in 2003, Virtus has executed core, core-plus, value-add and opportunistic strategies totaling more than $5.6 billion in property investments on behalf of institutional investors, family offices and financial institutions. In March, a joint venture between Virtus and Blaze Capital Partners acquired The Pointe at Siena Ridge, a 163-unit senior community in Davenport, Fla., in the Orlando area, from Eastwind Development. Virtus also teamed with Bainbridge Cos. in October 2022 to acquire AXIS Crossroads, a 344-unit luxury multifamily community in Cary, N.C., from Boston Capital.

Austin metro’s resiliency

While there has been some softening in the market, Yardi Matrix’s Multifamily Austin report for March notes the market is well positioned to weather the ongoing economic slowdown. As one of the country’s most active housing markets, there are currently more than 57,000 units under construction on top of robust deliveries in 2022 that have yet to be absorbed. That has led to rents trending downward in recent months, contracting by 0.5 percent on a trailing three-month basis as of January. Investors traded $148 million in assets in January, for a price per unit that rose 12.6% above the December rate. Unemployment in the Austin market was 2.7 percent in December, lower than the average statewide, nationally and in other major Texas metros.