HOUSTON – (Realty News Report) – Alfa TX Investment Group has acquired the 262-unit Willow Ridge apartments in southwest Houston.
The garden-style apartment was built in 1977 at 12800 Dunlap Street, a site that is south of Highway 90 and west of Hillcroft Avenue.
JLL Capital Markets completed the transaction on behalf of the seller, Sentinel Capital, a Houston firm led by Greg Nelson.
The buyer, Alfa TX Investment Group, is led by Vishnu Jalan. The transaction was financed in part by an $11,340,000 note payable to JLL Real Estate Capiital LLC. JLL worked on behalf of the buyer to originate a 10-year, fixed-rate Fannie Mae loan that will be serviced by JLL Real Estate Capital, LLC.
The apartment property totals 188,220 square feet and has 262 one-, two- and three-bedroom apartments, averaging 93 percent occupancy over the last five years.
Since 2016, Sentinel Capital, led by Greg Nelson, who was a Moody Rambin executive earlier in his career, has contributed over $750,000 in upgrades to the property, including replacements to signage, entrance gates, fencing, landscaping, HVAC, plumbing, modernizing the clubhouse and pool areas.
The JLL Capital Markets team representing the seller was led by Joey Rippel, Chris Young and analyst Kyle Whitney. The debt team representing the borrower was led by Director Laura Sellingsloh.
“The competitive process for Willow Ridge demonstrated strong investor appetite for Houston multi-housing through the pandemic,” said Rippel. “Especially for workforce product where collections remained high. Willow Ridge is a great strategic investment in the current environment. It is a clean and stable cash flow asset with original interiors that can be upgraded to increase NOI as the market improves.”
Transwestern’s third quarter multifamily report said the “sales market remains on pause.” Transwestern said only 9 apartment communities, with 2,314 units, were sold for $320.3 million in the third quarter, a 78.4 percent decline from the third quarter of 2019, according to Real Capital Analytics.
In the southwest submarket, Alliance Residential recently acquired 13 acres off Highway 90 where it will construct a 336-unit multifamily project. That project will be located between Hiram Clarke Road and South Post Oak Road. The site is adjacent to the Menninger Clinic psychiatric facility.
Nov. 8, 2020 Realty News Report Copyright 2020
File: Apartment Complex Sold in Houston
Caption: Willow Ridge. Courtesy JLL
Fiile: (2) JLL Capital Markets. Willow Ridge. Laura Sellingsloh. Apartment Complex Sold in Houston’s Slow Investment Sales Market