Texas’ growth story isn’t just confined to the Texas Triangle. Overlooked regions such as Northeast Texas are also attracting investor attention.
New Jersey-based Reynolds Asset Management partnered with Dallas-based Newport Capital Advisors to purchase two multifamily properties for $23 million in Texarkana, which is 180 miles from Dallas. The price works out to under $64,000 per unit.
The partners bought Westridge Apartments, a 176-unit building at 700 Sowell Lane, and Park at Summerhill, a 184-unit building at 5201 Summerhill Road. The Westridge Apartments were built in 1984, and Park at Summerhill was built in 1985.
They plan to spend $3 million renovating the properties. The seller of the Westridge Apartments traces to Houston-based Ascension Multifamily. The seller of Park at Summerhill couldn’t be determined.
John Hamilton of Marcus & Millichap brokered the transaction. Allan Edelson and Joe Tarantino at Walker & Dunlop arranged financing for the purchase, a Fannie Mae fixed-rate long-term loan.
Texarkana straddles the border between Texas and Arkansas and is located at the confluence of Interstates 30 and 49 as well as U.S highways 82, 67, 71 and 59.
The Texas side had a population of 38,500 in 2023 and is growing at an annual rate of 0.35 percent, according to city data. Between 2018 and 2023, the median household income in Texarkana rose from $40,484 to $44,813.
Reynolds focuses on multifamily, mixed-use, office and industrial properties throughout the country. This acquisition is the firm’s first in Texas, but it’s not new to the region. In October, Reynolds acquired Preston Place North | South in Bossier, Louisiana, and Townhomes at the Highlands in Shreveport. Both are older properties the firm plans to improve.
Newport specializes in providing equity for commercial property and has provided equity for multifamily and retail properties nationwide. This isn’t the firm’s first project in Texas. Newport invested $1.8 million in West Pointe Pines, a 263-unit apartment building in Fort Worth. It also has an ongoing project in a Corpus Christi retail strip, Moore Plaza. Newport has invested $8 million in that project.
Read more
Commercial
Texas
Starwood’s well runs dry at troubled West Texas multifamily portfolio
Commercial
Texas
As multifamily distress looms, Texas buyers still on the prowl
Commercial
Dallas
Growth soothes the pain of distress in DFW’s multifamily market