DALLAS, Aug 9, 2019 – Institutional Property Advisors (IPA), a division of Marcus & Millichap (NYSE: MMI), announced today the sale of a three-property, 658-unit multifamily portfolio in East Texas. The assets are: Pine Knoll, a 310-unit apartment complex built in 1983 in Longview, and two properties in Lufkin; Deer Cross, a 168-unit community constructed in 1986, and Deer Wood, 180 units built in in 1979.
“Located in two high-yield secondary markets, these assets provide the new owner with first generation value-add opportunities,” said Will Balthrope, IPA executive managing director. “The growing number of jobs in the North Longview submarket has increased the population and lowered vacancy over the past four quarters,” added Drew Kile, IPA senior managing director. Balthrope, Kile, Jennifer Campbell, IPA director, and Tommy Lovell III, Marcus & Millichap first vice president investments, represented the seller and procured the buyers. Saxony Capital Management purchased Pine Knoll and Haley Residential acquired Deer Cross and Deer Wood. Richard Robson, Marcus & Millichap associate and William Griffin of IPA provided representation in the sale of Pine Knoll.
“Market conditions in Lufkin are favorable as well,” commented Campbell. “At the end of last year average occupancy was 94.3 percent and the city is projected to grow more than three percent per year over the next two years with minimal new construction.”
Pine Knoll is a 26-building garden-style property proximate to Loop 281 and less than two miles from State Highway 80. The community is 35 miles northeast of Tyler and 130 miles east of Dallas. Residents can easily access employment, entertainment, and retail centers in Longview and Tyler. Located within close proximity of each other, Deer Cross and Deer Wood are located directly off State Highway 59, near Angelina Junior College. The communities are 30 miles south of Nacogdoches and 90 miles south of Tyler.