Avesta Communities closed on the 426-unit Chateaux Dijon Apartments in an off-market transaction topping $45M, adding one of the largest commercial tracts in Houston's prestigious Galleria area to its portfolio.
The Class-A project is on 10.8 acres at 5331 Beverly Hill St., a community within walking distance of the 3M SF Galleria Mall. Chateaux Dijon was 90% leased at sale time, roughly three percentage points higher than the submarket's current average.
Avesta Communities has had its eye on the Galleria submarket for about two years. The buyer's broker, NewQuest Properties' Glenn Dickerson, sourced the deal and negotiated directly with the seller, FHB Beverly Hill, for its last holding in the city.
"This was a one-time opportunity. This is one of the few tracts of that size in close proximity to the Galleria," Dickerson said. "It was an opportunistic acquisition."
SALES
Moody Rambin’s Zachary Taylor and Doyle Toups represented the purchaser in the sale of 3511 Jensen Drive in Houston. The closing was held at Old Republic Title Co.
LEASES
NAI Partners’ Jacob Aldridge, Zach Leger and Rani Jones represented the landlord in a 12K SF office lease for Valence Operating Co. at One Kingwood Place. Transwestern’s Kyle Whitney and Victor Valenzuela represented the tenant.
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Boxer Property has concluded the negotiations with Final Expense Direct at 6201 Bonhomme Road. Boxer's Trey Miller represented the landlord in-house and worked directly with the tenant, which renewed and expanded to a total of 16K SF.
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Lotys Midstream leased its first office in Sugar Land Town Square, occupying 7,500 SF. Transwestern’s Lonna Dorman represented Lotus and Planned Community Developers' Don Janssen represented the landlord in-house.
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Pape-Dawson Engineers moved Houston offices to a larger 16K SF office in the Westchase District on Richmond Avenue. No broker information was provided.
FINANCING
JLL’s Capital Markets team, led by Mark Brandenburg, secured financing for the acquisition of Brompton Court Apartments at 7510 Brompton Road in Houston. Voya Investment Management provided the loan for S2 Capital, which purchased the property from CMS Brompton Court.
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NorthMarq Capital’s Houston regional office arranged acquisition financing for Elm Grove Apartments, a 136-unit multifamily property in Kingwood. NorthMarq arranged financing for the borrower through its relationship with a balance sheet bridge lender.
