COLLEGE STATION, TX - Preferred Apartment Communities announced that it acquired The Tradition, a 427-unit, 808-bed student housing community located in historic Northgate one block away from Texas A&M University in College Station, Texas.
PAC acquired this asset through its wholly-owned subsidiary Preferred Campus Communities.
"This acquisition increases the size of the PCC portfolio to five student housing communities across four states," said Paul Cullen, Chief Executive Officer of PCC. Mr. Cullen added, "The Tradition is located just steps from the Texas A&M campus and was completely renovated in 2017 to provide best in class student-centered amenities and finishes, including a 24 hour penthouse fitness center, a Starbucks coffee bar, and a technology center with over 30 computer stations."
The Company financed the acquisition utilizing a non-recourse first mortgage bridge loan from Macquarie Group. The first mortgage bridge loan is approximately $30.0 million, bears interest at a floating rate of 400 basis points over the 30-day LIBOR and has an interest only three-year term. There are no loan guaranties provided by PAC or our operating partnership.
Preferred Campus Communities is a wholly-owned indirect subsidiary of Preferred Apartment Communities, Inc. PCC was formed to acquire off-campus student housing communities in select, targeted markets with growing enrollments throughout the United States.