A $48 million loan was secured for the acquisition of The Brandt, a 504-unit multifamily asset (credit: CoStar).
IRVING, TX—Long known for its corporate appeal, Las Colinas continues to attract multifamily residents and investors alike. The Brandt is a 504-unit garden-style multifamily community that was recently purchased by Western Wealth Capital. During the next five years, Western Wealth Capital will complete its disciplined value-add program which will include unit interior upgrades, and adding washers and dryers in many units.
Berkadia recently secured a $48 million loan for the acquisition of the asset. Managing director Andy Hill and associate director Tyler Nowlin of Berkadia's Austin office arranged the financing on behalf of the buyer. Berkadia originated and Freddie Mac purchased a seven-year adjustable-rate loan with three years interest only.
“After extensive discussions with a variety of capital sources, we were able to work with Freddie Mac to deliver a loan structure that was consistent with the borrower's business plan and provided the leverage and flexibility that they needed,” explains Hill.
Located at 3950 N. Story Rd., The Brandt offers a variety of one- and two-bedroom floor plans ranging from 632 square feet to 1,045 square feet. Units include granite countertops, wood plank flooring, walk-in closets and fireplaces in some units. Community amenities include private enclosed yards, a remodeled clubhouse and fitness center, a dog park and pet wash station, and three pools.
The Brandt is situated in the Las Colinas neighborhood adjacent to the Cottonwood Valley subdivision, and neighbors the Four Seasons Resort and Club along with its TPC golf course.
“The Las Colinas/Irving submarket is sandwiched between the Las Colinas business district, the Freeport Business Park and DFW airport,” Hill tells GlobeSt.com. “These stable economic drivers have helped area multifamily properties to sustain high occupancy and support good rent growth. Additionally, this area has not experienced as much new supply as the northern suburbs. The new construction projects in the Las Colinas/Irving area have entered the market at a more measured pace so absorption has been steady. As a result of the area's stable economic drivers and more measured delivery of new supply, this project was attractive and the submarket is performing well.”
The apartment supply in the Dallas/Fort Worth metro area will continue to thrive. There are approximately 33,000 units in the planning stages and an additional 28,000 units underway, according to a report by Fannie Mae.
According to Moody's Analytics, the prime renter cohort population in the metro (ages 20 to 34) is expected to expand by 1.7% through 2023. The young demographic, healthy economy and strong job growth should continue to keep demand high for the forecast.
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Lisa Brown
Lisa Brown is an editor for the south and west regions of GlobeSt.com. She has 25-plus years of real estate experience, with a regional PR role at Grubb & Ellis and a national communications position at MMI. Brown also spent 10 years as executive director at NAIOP San Francisco Bay Area chapter, where she led the organization to achieving its first national award honors and recognition on Capitol Hill. She has written extensively on commercial real estate topics and edited numerous pieces on the subject.
