Houston Firm Buys First Property In Nearly 2 Decades, Plans For Growth By Purchasing More
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Allied Orion Group, which has been focusing exclusively on development and management, picked up its first property in nearly 20 years and plans to expand its portfolio by acquiring more existing Class-A and Class-B assets.
Houston-based Allied Orion Group acquired Ashford Apartments, formerly Alexan Ashford, from Trammell Crow Residential in late February, according to a press release.
"We have been evaluating hundreds of acquisitions opportunities, and Ashford met our core plus criteria," Allied Orion Group CEO Ricardo Rivas said in the release. "The projected pro-forma rents were already achieved in the current market, and at a 10% discount to replacement costs, it made perfect sense for us. We basically were able to accomplish in 60 days what would have taken us four years to develop and stabilize."
The multifamily investment market has been extremely competitive, which has made acquisitions difficult, Rivas previously told Bisnow.
Ashford Apartment, an upscale community built in 2017, offers one- and two-bedroom units that feature granite countertops, gas stoves, upgraded wood cabinetry, garden tubs, 10-foot ceilings, washers/dryers, built-in USB ports in the kitchen and bathrooms, a Bluetooth speaker package, a Butterfly MX video intercom for residents, beverage coolers and Nest thermostats.
On-site amenities include a resort-style pool with a sun deck and poolside cabanas, a two-story fitness center, a demonstration kitchen, an enclosed dog park with washing station, package concierge lockers, an apartment butler service option, bike storage and electric vehicle charging stations.
Though Allied Orion Group has been on an acquisition hiatus, it has been active on the development front. It has acquired or developed more than 13,000 multifamily units valued at $1.1B and manages about 23,000 units throughout the U.S. The firm is developing and will manage Territory at Greenhouse, a Class-A apartment community in Katy.