Heritage Oaks and the Gallery are two adjacent boutique Class “B” garden-style apartment communities consisting of 217 units in Austin, TX. This acquisition gives the ability to aggregate two contiguous sites, totaling 6.8 acres, in the South Lamar submarket. The properties are currently 100% and 95% occupied with rents below market, providing immediate opportunity to drive organic rent growth. Interior and amenity improvements should provide additional rent growth during the investment hold period. The properties are prominently positioned along Manchaca Road and adjacent to Austin’s iconic South Lamar Boulevard, offering the quintessential Austin life in one of the trendiest areas in the city. The location is near the CBD and Southwest Austin, near employers such as Oracle, Yeti, AMD and Google. Residents benefit from convenient access and urban living without exorbitant downtown rents.
Investment highlights are summarized below:
- Strong in-place yield with value-add potential via getting rents up to market.
- Proven track record of upgrading units and moving rents to the market.
- Well maintained property with strong amenities.
- Strong location near Austin CBD.
- Strong historical occupancy.
- Employment growth corridor with high barriers to entry from multifamily.