HOUSTON, TX - Eastham Capital, a private equity real estate firm dedicated to providing superior, risk-adjusted returns to investors through the transformation of undervalued multifamily real estate, announces the disposition of Kensington Crossings, a 254-unit apartment community and Morgan Bay, a 268-unit apartment community located in Houston, Texas.
Kensington Crossings was acquired in 2018 and Morgan Bay in 2019, for the portfolio of Eastham Capital Fund V, LP, as a joint venture between Mosaic Residential and Eastham Capital. The sale prices were not disclosed.
“Kensington and Morgan were very successful investments for both Mosaic and Eastham. We are extremely pleased with the returns that were realized for our investors,” said Matthew Rosenthal, founder and managing director of Eastham Capital. "Both properties' strong performance, led by a great operating partner in Mosaic, upholds our value-add investment strategy, which worked very well in Houston.”
Kensington Crossing Apartments includes a mix of one-, two-, and three-bedroom units ranging from 759 to 1317 square feet. Morgan Bay Apartments includes a mix of one and two-bedroom units ranging from 561 to 1042 square feet.
The team implemented a comprehensive repositioning strategy that significantly enhanced the asset’s profitability. At the time of disposition, Kensington Crossing was approximately 96.5% occupied, with in-place rents having increased from $1,000 at the time of acquisition to $1,344. Morgan Bay was approximately 94.8% occupied, with in-place rents having increased from $632 at the time of acquisition to $922.