June 6, 2022 1:00 PM
Newmark announces it has completed the sale and financing of Live Oak Place, a 308-unit value-add multifamily asset located in northeast San Antonio along the Texas Innovation Corridor. Newmark Senior Managing Director Jim Young, Senior Managing Director Matt Michelson and Director Chase Easley represented the seller, 29th Street Capital, in the sale. Newmark Vice Chairman Matt Greer and Vice President Andrew Wilson helped arrange the acquisition financing on behalf of the buyer. Remarkably, this transaction marks the Newmark team’s third time selling this property, after prior transactions in 2018 and 2020. The buyer and sale price were undisclosed.
“Live Oak Place presented investors with an outstanding value-add opportunity at the major intersection of IH-35 & Loop 1604,” said Young. “The asset’s location along the booming IH-35 growth corridor attracted both private and institutional investors while offering residents a competitive residential option with convenient proximity to major employment and retail nodes. This asset will be an outstanding addition to the buyer’s growing Texas portfolio.”
Live Oak Place is a 308-unit, garden-style apartment community located at 13012 Oak Terrace Drive in Live Oak, Texas. The property features a mix of studio, one- and two-bedroom units with an average unit size of 668 square feet. Unit interiors feature fully equipped kitchens, tile surround tub/showers, large patios or balconies and vinyl plank flooring in select units. Community amenities include three swimming pools, clubhouse with coffee bar and Wi-Fi, laundry facilities and two dog parks. Approximately one-third of the units remain in classic condition, with another one-third having received partial upgrades, offering the new owner attractive value-add potential in completing upgrades to the remaining units.
Located in Northeast San Antonio, Live Oak Place benefits from a desirable location in proximity to some of the city’s major employers including the Randolph Brooks Federal Credit Union (RBFCU) headquarters, Randolph Air Force Base / Joint Base San Antonio (JBSA), Amazon, Rackspace, and Southwest Airlines. In addition, the property is proximate to an abundance of mixed-use, retail, entertainment and recreation destinations including Forum at Olympia Parkway, Live Oak Town Center, Northwoods, and multiple golf courses, resorts, and parks.
“Live Oak Place was financed by Fannie Mae through Newmark’s Debt & Structured Finance platform in a time when rates were rising and due to the quick diligence from the borrower, they were able to make a quick decision and execute at a great rate,” said Wilson. “This transaction illustrates continued investor appetite for multifamily opportunities in San Antonio and Texas.”
Following a record 2021, investor demand for multifamily remained robust during the first quarter of 2022 with $63.0 billion in U.S. sales volume, according to Real Capital Analytics data analyzed by Newmark Research. In addition to this volume signifying the largest first quarter on record, year-over-year volume accelerated 65.4%. Trailing twelve-month volume increased to $374.3 billion. Remarkably, major markets in Florida and Texas accounted for 27.3% of total volume over the past 12 months.
Newmark Group, Inc. (Nasdaq: NMRK), together with its subsidiaries (“Newmark”), is a world leader in commercial real estate, seamlessly powering every phase of the property life cycle. Newmark’s comprehensive suite of services and products is uniquely tailored to each client, from owners to occupiers, investors to founders, and startups to blue-chip companies. Combining the platform’s global reach with market intelligence in both established and emerging property markets, Newmark provides superior service to clients across the industry spectrum. Newmark generated revenues of nearly $3.1 billion for the twelve months ending March 31, 2022. Newmark’s company-owned offices, together with its business partners, operate from approximately 170 offices with 6,300 professionals around the world. To learn more, visit nmrk.com or follow @newmark.
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