NEWTON, NJ—Marcus & Millichap has arranged the $16.9-million sale of Brookside Terrace, a 222-unit HUD property in Newton, NJ. The apartment complex consists of a 10-story high-rise building along with townhouses. Built in 1976 on 7.2 acres, the property is located at 33 Mill St. in Newton, one hour from Manhattan.

“This was an extremely complicated transaction that involved multiple state housing agencies and a conversion to the Housing and Urban Development's RAD 2 program,” says Andrew Townsend, VP investments in Marcus & Millichap's Philadelphia office. “We commend both the buyer and seller for their patience and hard work in getting this deal to the finish line.”

Townsend, with Ridge MacLaren, first VP, investments and Clarke Talone, senior associate, both also in the firm's Philadelphia office, represented the seller and procured the buyer, who were not identified. J.D. Parker, SVP – district manager, supervised the deal as the firm's broker of record in New Jersey.

“We are seeing more and more apartment investors actively pursue HUD and Low Income Tax Credit opportunities as an alternative to market-rate apartments, which are highly competitive and typically have lower yields,” says MacLaren. “Our team has built a 10-year track record of success in the affordable housing space in the Mid-Atlantic and Northeast. We currently have assets listed and under contract from North Carolina to New York and are actively pursuing new business.”