September 6, 2016
Castle Lanterra, headquartered in New York, has made its fourth multifamily purchase in Austin, TX, snagging the 370-unit Arrangement apartment community from Wheelock Street Capital, in Boston. The property is at 2101 Burton Dr., on Austin’s east side.
The sales price was undisclosed, with the Travis Central Appraisal District valuing the 40-year-old property at $13.9 million. Arrangement underwent a $10 million upgrade in 2013. The asset offers one-, two- and three-bedroom units, ranging from 700 square feet-1,316 square feet. Monthly rents are between $919-$1,399.
“The acquisition targets a strong in-place yield of more than 11% in a growing market, with demand drivers that are expected to continue to support long-term rent growth,” observed CLP’s Austin Alexander. The property now features a level of design and quality that competes with new construction, but at a value-oriented price point,” he added.
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