AUSTIN-Following an active marketing and bidding process, Trammell Crow Residential sold the 350-unit Alexan Ribelin Ranch to a private buyer. The new owner will rebrand the five-year-old property, as "Alexan" is a proprietary Trammell Crow brand.
The sales price for the multifamily property at 9900 McNeil Dr. was kept confidential. The Travis Central Appraisal District assesses it at $31.6 million.
According to Apartment Realty Advisors' Patton Jones, the Trammell Crow-built asset came online in 2008, and performed extremely well during the recession. "Austin was no different from the rest of the nation; we had a dip between 2007 and 2009, then rents rocketed up after that," says Jones, who represented the seller in the transaction. He tells GlobeSt.com that the multifamily property came to market because of the seller's timing, rather than any concern about interest rate movement. "The actual decision to sell was made before the rates moved," he adds. "Trammell Crow still owns a large portfolio of properties in Austin and they're building again. They're back to their normal business plan to sell a portion of their portfolio."
He says that, during the marketing process, ARA hosted 20 property tours and received approximately 12 bids, which were ultimately winnowed down to three or four likely candidates.
"In the beauty contest, which is what we call the best-and-final round, the buyer stood out because they offered all cash with a quick close," Jones says. He adds that those attracted to the property were a mix of private and institutional investors. "With interest rate volatility, the seller preferred a cash buyer so there would be no risk of interest rates holding up the sale," Jones remarks.
Alexan Ribelin Ranch is located in the master-planned, mixed-use Ribelin Ranch on the metro's northwest side. The area is surrounded by 5,000 acres of the Balcones Canyonlands Preserve. The complex offers one-, two- and three-bedroom units ranging from 747 square feet to 1,501 square feet. Rents are between $791 and $1,599 per month.
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