WEST PALM BEACH, FL - NexPoint Residential Trust, a real estate investment trust focused on multifamily real property, announced that it has acquired an apartment community located in West Palm Beach, Florida, for a purchase price of $21,000,000.
The property, known as Bayberry, was constructed in 1986 and 1987 and consists of 222 one- and two-bedroom residential units. The community offers amenities including a clubhouse with a seating lounge, a pool area with a sundeck, an updated fitness center, two lighted tennis courts, an outdoor lounge and barbecue area and a car care center. Bayberry is located near several dynamic employment markets spread across downtown West Palm Beach, North Palm Beach and Boca Raton.
NXRT plans to implement a capital expenditure program consisting of significant interior and exterior improvements, including enhanced exterior lighting, improved landscaping and new unit fixtures and flooring. Matt McGraner, NXRT’s Executive VP and Chief Investment Officer, said, “We believe Bayberry will make an excellent addition to NXRT’s portfolio. West Palm Beach is a highly desirable submarket with strong fundamentals, and Bayberry represents a perfect fit for NXRT’s value-add strategy.”
As part of the purchase consideration for Bayberry, NXRT has entered into a new $12.6 million floating rate mortgage, with 48 months of interest only at an interest rate of 1.80% over 30-day LIBOR maturing in March 2022. The balance of the purchase price was funded using the NXRT's available unrestricted cash.
NexPoint Residential Trust, Inc. is a publicly traded REIT, with its shares listed on the New York Stock Exchange under the symbol “NXRT,” primarily focused on directly or indirectly acquiring, owning, operating and selectively developing well-located Class A and B multifamily properties with “value-add” potential in large cities and suburban submarkets of large cities, primarily in the Southeastern United States and Texas.