HOUSTON – (Realty News Report) – The Bascom Group has continued its acquisition run in Texas, acquiring a 346-unit apartment community in Houston and marking their fifth acquisition in Houston in the past two years.
The latest Houston acquisition marks Bascom’s 40th multifamily property closed in Texas.
Bascom closed on the purchase of Montierra is a 346-unit community, built in 2003 and located at 2345 Sage Road in the Uptown/Galleria submarket.
“This acquisition continues our Texas strategy of acquiring well located, newer vintage assets with minimal deferred maintenance and value-add potential,” said Chang Liu, Acquisitions Director for Bascom, which is based in Irvine, Calif.
Developed by Sueba USA, the Montierra is very well-maintained, offering functional, large interior floorplans.
Demand for multifamily in Houston continues to remain strong along with its overall economy. Effective rents across the class “A” market segment increased 6.2% year-over-year through Q3 2022 with the average occupancy settling at 93.1% for stabilized properties. Houston ranks third in affordability compared to the top 30 U.S. metros with a rent-to-income ratio of 18%.
“We are excited to acquire a property that offers suburban characteristics, like large floorplans and ample community space, in an urban location. We can elevate the interior design to match the next-generation properties nearby,” said Andre Burshe, Director of Operations at Bascom.
Dustin Selzer with JLL represented the seller in the Montierra transaction. Cadre, a New York based real estate investment manager, provided the equity capital. This is the second joint venture between Cadre and Bascom this year. California Bank & Trust provided the debt financing for the acquisition and was arranged by Brandon Smith, Annie Rice and Jamie Kline with JLL. SD Cap will provide construction management services and Stonemark will be the property manager. James D’Argenio and Chang Liu sourced and managed the acquisition for Bascom.
In 2021, Bascom acquired Cantera at Towne Lake a 350-unit multifamily property located in the Towne Lake master-planned community in the Cypress area.
Bascom was founded by principals Derek Chen, Jerry Fink, and David Kim,
Dec. 21, 2022 Realty News Report Copyright 2022.
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