Berkadia Completes $64.5 Million Sale and Secures $56.5 Million for Multifamily Portfolio in Georgia

October 5, 2021

ATLANTA – October 4, 2021 – Berkadia announced today the sale of and financing secured for a two-property multifamily portfolio consisting of Hidden Colony and Spaulding Hills in Georgia. Senior Managing Directors Paul Vetter and Andrew Mays, Senior Director Judy MacManus and Director Matt White of Berkadia Atlanta completed the $64.5 million sale on behalf of the seller, Florida-based WRH Realty. The buyer was New York-based Spaxel., and the deal closed on August 26.

Senior Managing Director John Bray of Berkadia Atlanta secured the $56.5 million in acquisition financing on behalf of the borrower, Spaxel.

“Each property exhibits strong fundamental trends and excellent renter demographics,” said Vetter. “Their locations offer excellent connectivity to employment hubs and demand drivers, including the transformative Studio City development. Both properties are well-maintained and boast a desirable unit mix including town home layouts in select units. They have successfully implemented a proven interior renovation program, garnering elevated rental premiums. In addition to their value-add upside, there are numerous additional upside opportunities the buyer can take advantage of.”

“We are thrilled to expand our growing footprint in Atlanta with the acquisition of these attractive assets,” said Granit Gjonbalaj, Spaxel’s Managing Partner. “We look forward to supporting these wonderful communities with an exceptional operating team and critical unit and property upgrades.”

“Like the strong demand on the buyer side, the competition to finance these properties was also intense from numerous debt funds,” said Bray. “The majority of the bridge lenders we contacted also saw the upside in these assets and were able to get 75 percent plus leverage at very competitive spreads.”

Hidden Colony is a 280-unit multifamily community located at 3373 Aztec Road in Doraville, Georgia. The property features one-, two- and three-bedroom floor plans with a private balcony or patio, walk-in closets and air conditioning. Community amenities include a swimming pool, a fitness center, a playground, a laundry facility and a pet park. The property affords residents convenient access to Dekalb-Peachtree Airport, Mercer University, Northside Hospital and Interstates 85 and 285.

Spaulding Hills, a 98-unit multifamily community located at 6701 Winterbrook Court NW in the Peachtree Corners submarket of Atlanta, Georgia, features one-, two- and three-bedroom floor plans with walk-in closets, a private balcony or patio and air conditioning. Community amenities include a swimming pool, a sundeck, a clubhouse, a business center, a fitness center, a playground and a dog park. The property affords residents convenient access to Windwood Hollow Park, the shops and restaurants along State Route 141, Atlanta Media Campus and the employers and job hubs near the Interstate 85 Peachtree Industrial Corridor.

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