Holland represented both the buyers and the sellers in both transactions. Quail Run, selling for the third time in 25 years, was sold by the Apartment Gallery and acquired by the Solomon Organization. Holland has exclusively represented the property in all its previous sales. Wynnewood Real Estate LP picked up Wynnewood Greens from former owner Camelot Partners.
Both buyers intend to carry out improvements at the garden-style complexes. According to Holland, the Solomon Organization intends to install separate meters in the Quail Run apartments so tenants will pay their own utilities. In addition, the new owners plan to renovate the kitchens in some of the units. Information on the improvements slated for Wynnewood Greens was not available.
"These were good deals," Holland tells GlobeSt.com. "Times are tumultuous, but the market is still good for multifamily properties and the properties had strong tenant occupancy." Quail Run is currently 98% occupied and Wynnewood is 95% occupied.
According to Holland, real estate has become an attractive investment in the current unpredictable economic times. "Real estate has always been stable," he says. "Maybe the returns have been reduced, but real estate is a tangible asset, unlike a lot of stocks now. Who knows what they're going to be worth tomorrow. Right now, multifamily is the real estate asset of choice because of the low risk. If you have an apartment building that's 95% occupied and two tenants move out, then maybe you'll go down to 94% occupied. But in retail or office, if you lose a tenant, chances are you're losing close to 10% or more of your income."
Quail Run, located at 1424 Passey Ln., features garden-style apartments with private entrances and balconies. The property boasts a pool, playground and a fitness center. Apartments are listed at $660 a month for a one-bedroom unit and $730 for two bedrooms.
Wynnewood Greens, at Route 309 and Emaus Ave., is a two-and-a-half-story property that features private balconies and modern kitchens. Rents range from $620 per month for a one-bedroom unit to $740 per month for a two-bedroom unit.
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