GVA Real Estate Buys 2,899-Unit Multifamily Portfolio for $458M
The off market sale was brokered by Newmark.
GVA Real Estate Group has acquired a 20-property multifamily portfolio spanning from the Carolinas to Oklahoma for $457.5 million. The seller of the 2,899-unit portfolio, which traded off market, was Cedar Grove Capital.
The portfolio includes 16 assets in North Carolina, three in South Carolina and one in Oklahoma City.
Newmark’s Dean Smith, John Heimburger and Jason Kon were the sole brokers on the sale transaction. Tip Strickland, Henry Stimler and Bill Weber in the firm’s Multifamily Capital Markets division secured a $325 million acquisition loan and a $40 million capital improvements loan from Benefit Street Partners Realty Trust and Franklin Templeton on behalf of the buyer.
The purchase allowed GVA Real Estate Group to expand into geographic markets in which they have been looking to invest. “The Cedar Grove portfolio was a unique opportunity to acquire 19 properties in the Carolinas, which doubles our footprint in the region”, said Alan Stalcup of GVA, in prepared remarks, “Additionally, the portfolio represents a fantastic value add in both operational improvements and continued interior renovations.”
To market the portfolio, Newmark targeted a small group of select buyers “and created a bespoke experience for them,” according to Kon. “This approach allowed for these potential buyers to focus on the transaction in a more efficient manner and decide if they were the right steward of this exceptional portfolio.”