RALEIGH, NC - Atlanta-headquartered ARA, the largest privately-held, full-service investment advisory brokerage firm in the nation focusing exclusively on the multihousing industry, announces the sale of Lexington Farms, a 188-unit garden-style community located in Northwest Raleigh between Rex Healthcare and Crabtree Valley Mall near Interstate 440.
The ARA Carolinas team of Sean Wood, Blake Okland, Dean Smith and John Heimburger represented the seller, Church Street Partners LLC, a Raleigh, North Carolina-based private real estate investment company that invests in high-quality properties in prime locations throughout the Southeast.
The property was acquired by Chicago-based, Redwood Capital Group, LLC, a fully integrated real estate investment platform that focuses on the acquisition and asset management of multifamily real estate. The company currently owns and operates approximately 30 apartment properties, totaling nearly 10,000 units valued at over $800 million within the Midwest, Southeast and Sunbelt sections of the country with additional focus on Colorado. Redwood focuses on unique investment opportunities in the multifamily sector based upon its extensive network of relationships, such as but not limited to, purely off-market or less broadly marketed properties, including core-plus and value-add apartment properties. Lexington Farms was broadly marketed by ARA.
Church Street Partners LLC renovated approximately 70% of unit interiors with stainless steel appliances, faux wood flooring, cabinets, faux granite countertops, lighting, doors, fixtures and hardware before the sale. Redwood plans to continue the renovations to the unit interiors in addition to enhancing the clubhouse and fitness center. In total, Redwood anticipates spending $800,000 on property improvements.
Lexington Farms is just over one mile from Rex Healthcare, (3,500 employees with 665 beds), the largest and most prominent employer in the immediate submarket, and one mile from Crabtree Valley Mall. Additionally, residents have a shopping center anchored by Harris Teeter located just a half-mile from the site. This location also boasts affluent demographics with numbers substantially higher than Wake County averages. Within a one-mile radius of the property the estimated current average family household income is over $90,000 while the estimated median home price within 3 miles is almost $310,000, (Claritas).
Lexington Farms was built in 1988, is situated on 21.9 acres, and is comprised of 64% of one-bedroom units and 36% of two-bedroom units, averaging 914 square feet.
Occupancy at the time of sale was 96%.
To schedule an interview with an ARA executive regarding this transaction or for more information about ARA, nationally please contact Lisa Robinson at lrobinson@ARAusa.com, 404.990.4900 or Amy Morris at amorris@ARAusa.com, 404.990.4902; locally, Cassandra Rusnak, at rusnak@ARAusa.com or 704-926-4441.
About ARA: Atlanta-headquartered ARA is the largest privately held, full-service investment advisory firm in the nation that focuses exclusively on the brokerage, financing and capital sourcing of multihousing properties including conventional, affordable, distressed assets, notes sales, seniors, student & manufactured housing and multihousing land. ARA is comprised of the country’s top investment professionals who leverage a unique and fully integrated cooperative business platform of shared information, relationships and technology driven solutions. ARA’s unified enterprise approach ensures that clients are delivered the broadest asset exposure, effective matching of buyers and sellers, and the shortest transaction timeframes in the industry. The combination of resources, unparalleled market expertise and nationwide presence in the multihousing marketplace has resulted in an annual production volume of more than $10.2 billion in real estate transactions in 2013. For detailed information on ARA’s extensive multihousing investment services, visit www.arausa.com.