HOUSTON, TX - Bodka Creek Capital has acquired Terraces Apartments, a 240-Unit Class C Multifamily Complex in Texas City, Texas, for $17.6 million, marking the Houston-based real estate firm's continued expansion.
Terraces@2602 is the first acquisition for Bodka in 2021, following the close of two complexes in 2020. Bodka currently manages a $24 million commercial real estate portfolio with over 300 multifamily units totally nearly 300,000-square feet. The acquisition positions Bodka as the largest African American Woman owned real estate investment firm in Texasand among the Top 3 nationwide. The firm will pursue increasingly larger value-add opportunities across the Southeast with a Texas emphasis.
Located at 2602 21st Street N, the 164,614-square foot Terraces@2602 was 99 percent leased at closing. The property, one of the most desired in Texas City, features two sparkling swimming pools, onsite laundry facilities, a resident dog park, and reserved parking. With over 10.5 acres, the quiet community has ample space for individuals and families to enjoy.
While Bodka invests in urban and suburban markets, they were drawn to the attractive risk/reward fundamentals of this Houston submarket, according to Founder & Managing Partner Allyson M. Pritchett.
"Terraces is a stabilized multifamily property with several significant value-add opportunities in one of the fastest growing submarkets in Houston," said Pritchett. "We were able to secure the asset at an attractive cap rate and at a price substantially below appraisal value. We look forward to buying as many deals with this kind of profile as there are opportunities to do so."
Investment Partners included Pritchett's brother, Theodore E. Pritchett III, as well as Daniel Hamann and Graham Crain, who also partnered on Gulfwind Apartments. Naval Sehgal, Ash Shah, and Brian Pope rounded out the partnership.
Jonathan Paine and Tom Fish of Walker & Dunlop's Houston Office and David Kwitman of Ready Capital's New York Office secured the debt. Matt Saunders of NKF's Houston Office represented the seller.
Source: Bodka Creek Capital