Sitting in the Clear Lake/NASA submarket, the complex at 2305 Bay Area Blvd. was sold to Village Green Associates LP, an investment group from Miami. Jim Hearn with the Houston office of Hendricks & Partners tells GlobeSt.com that the new owner will need to put about $1 million into renovations. He says the seller, Meridian Village Green Investors LP, wanted to dissolve the partnership so it sold the holding as a value-add with deferred maintenance. He says the class C complex will fall into a class B category when the work's done.

Hearn says the deal required the buyer to assume a Fannie Mae loan held by Boston-based Berkshire Mortgage. "They only looked at a few offers and made a deal with a buyer who they had sold deals to before," he says of the seller's pick to take over a property that was on the market just a short time.

According to Hearn, occupancy fell between 86% and 89% at sale time. Units average 750 sf and the monthly rent median is $600. Upside, says Hearn, will come from hiking occupancy and rents.