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MIDDLETOWN, RI-A $15.5-million offer from a local buyer put about 15 other bidders out of the running for a 238-unit Aquidneck Island apartment complex that once served as housing for Navy families. Landings Real Estate Group, of Newport, which purchased the Anchorage Apartments from Northeast Housing LLC, will give the property a new name and a $4-million makeover as it prepares to turn the rental units into affordable condos.
"Over the long term, Landings Group will invest $25 million, initially with a $4-million investment to get the property stabilized," Dave Forrest, with GMH Capital Partners' Investment Services Division, of Newtown Square, PA, tells GlobeSt.com.
Forrest says bidding on the complex, which has since been renamed the Landings, was highly sought after by local, regional and national buyers because of the property's location in a supply-constrained market just outside of Newport. The new owners plan to spend $4 million to upgrade the property's interior and exterior and improve occupancy rates, which were 65% at the time of sale, Forrest says.
Once the property is stabilized, the Landings Group plans to invest millions more to turn the complex into affordably priced condominiums geared towards residents such as municipal workers, teachers, firefighters and police officers who can't afford the $370,000 median price for a house in nearby Newport, Forrest says.
Built in 1941 and renovated in 1989 as off-base housing for Navy families based in nearby Newport, the 25-acre complex was put on the market by the seller several months ago to be "excess housing" Proceeds from the sale will be invested in Northeast Housings other communities throughout the eastern US, he notes.
Forrest and Randall Calvert, also with GMH Capital Partners, assisted in closing the transaction for both parties.
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