AUSTIN, Texas – February 9, 2021 – Berkadia today announced the sales of The Saint Mary and Hermosa Village, two trophy Class A garden-style multifamily properties in the Austin, Texas MSA. Managing Director Kelly Witherspoon, Directors Michael Gonzalez and Justin Cole and Associate Director Adam Sumrall of Berkadia’s Austin, Texas office completed the sales on behalf of the respective sellers.
“These two communities represent some of the nicest garden-style developments in the Austin metro within their respective submarkets,” said Witherspoon. “Given some continued softness in the urban core, investors continue to flock to suburban areas chasing yield, economic growth and inventory. We believe this trend will continue for most of 2021.”
The Saint Mary was sold by Stratus Properties, a publicly traded heavyweight headquartered in Austin, Texas. The buyer was locally based Wildhorn Capital along with their Dallas-based equity partner, Velocis. The 240-unit property is in Southwest Austin, a difficult area for commercial development mainly due to environmental factors and impervious cover restrictions. It is located on the edge of the Circle C Neighborhood, an affluent master-planned community with over 6,000 homes and numerous retail establishments nearby. Senior Managing Director Andy Hill, also of Berkadia’s Austin office, secured a bridge loan through Ares Management L.P., on behalf of the buyer for the acquisition of The Saint Mary.
Hermosa Village is located at 11680 Hero Way West in Leander, Texas, a northern bedroom community to Austin. In 2020, Leander was rated the fastest growing city of its size in the country from July 2018 to July 2019, growing 12 percent in overall population, according to the U.S. Census Bureau. The developer and seller was Austin-based IMPACT Developers. The buyer was California-based Bridge Partners, Inc., with the deal closing at the end of January. The 238-unit low density, townhome-style development features a modern farmhouse design along with a rich set of community amenities including a community farm to table garden, outdoor TV lounge, barbeque and dining pavilions. It is believed to be one of the only communities in Central Texas that is fully compatible for electric car charging. Managing Director Clay Akiwinzie, based in Berkadia’s San Francisco office, secured a loan through La Salle on behalf of the buyer for the acquisition of Hermosa Village.