Source: Bluerock Residential Growth REIT / #Apartments #Multifamily
BIRMINGHAM, AL - Bluerock Residential Growth REIT announced that it has acquired the 300-unit multifamily community known as Springs at Greystone in Birmingham, Alabama. The REIT acquired the property for a total purchase price of approximately $36.25 million, or approximately $121,000 per residential unit.
The Company plans to implement a $1.8 million interior, exterior and amenity renovation program to improve the property's curb appeal and strengthen its position among its competitive set. The acquisition is projected to yield a pro-forma stabilized cap rate of 6.3% after implementation of the value-add program.
BRG purchased the property with an equity investment of $17.4 million, utilizing $21.2 million (58% LTV) of the REIT's line of credit to finance the remainder.
Springs at Greystone is a 2007 vintage, garden-style apartment community in the East Birmingham submarket of Birmingham, Alabama. The property is situated in the top-tier suburban district of Greystone, and located within the active "280 Corridor" commercial hub, which is less than a mile from US-280. Springs at Greystone features studio, one-, two- and three-bedroom units averaging 905 square feet, a resort-style pool with outdoor kitchen, 24-hour fitness center, clubhouse, business center with Wi-Fi, car care center and laundry facilities.
The Greystone submarket has attracted a strong influx of residents drawn to its upscale lifestyle, amenities and proximity to jobs. Home values in the area range from $400,000 to over $1 million. The nearby 280 Corridor is a dense, regional employment and retail hub, with three million square feet of office space and more than 2.6 million square feet of retail space