RREAF Holdings LLC, a private real estate investment and development firm based in Dallas, in partnership with 3650 REIT and DLP Capital today announced the acquisition of two properties in Corpus Christi marking the trio’s second portfolio acquisition in less than 12 months.
The first property, Windy Shores in Aransas Pass, is build-to-rent with 155 total units constructed in 2004. Windy Shores features a pool, fitness center, basketball court, running track, park, playground, and tennis court. Pearl Point, the second asset, features a garden style multifamily property in Rockport, an affluent suburb of Corpus Christi. Built in 2020, the property has a total of 216 units, a resort style pool, fitness, and business center.
“The closing of the two acquisitions in Corpus Christi marks our second portfolio with 3650 REIT and DLP Capital to supply much needed, quality housing options for residents,” said Graham Sowden, Director of Acquisitions at RREAF Holdings. “These communities are the third and fourth that RREAF has acquired in the Corpus Christi area in the past two years, a market that has demonstrated high demand for best-in-class management and quality communities. RREAF continues to execute on our strategy of value-add communities in growth markets”
“DLP Capital is excited to impact the housing crisis once again with these formidable partners,”
“DLP Capital is excited to impact the housing crisis once again with these formidable partners,” said Don Wenner, Founder and CEO of DLP Capital. “These acquisitions align perfectly with our strategy to bring safe, comfortable homes to working families in Corpus Christi, continuing our belief that we can do good while doing well for our investors.”
Financing was provided by Nathan Stone and Guy Griffith at Berkadia, a leading multifamily investment sales advisor, mortgage banker and loan servicer. RREAF’s in-house property management company, RREAF Residential, will be taking over property management on both assets. RREAF’s multifamily division bought the properties from two different sellers and continues to be active in the sector with over 8,350 units acquired in the last five years. RREAF Holdings has also closed over $900 million in acquisitions and $400 million in dispositions for a total of $1.3 billion in transaction volume in the last 12 months. DLP Capital has approximately $3 billion in assets under management.
“3650 is pleased to help finance the acquisitions of these two properties, which provide residents in the growing Corpus Christi market high-quality housing optionality,” said 3650 REIT Co-Founder and Managing Partner Jonathan Roth. “The build-to-rent sector in particular has exhibited continued rent growth, while the fundamentals of the multifamily sector remain strong, even in today’s challenging and uncertain market environment. We’re thrilled to work once again with sophisticated partners RREAF Holdings and DLP Capital, as earning repeat business is a hallmark of 3650’s consistent focus on relationship lending. We look forward to maintaining our momentum and closing additional transactions in the coming months that align with our strategy of investing in ‘change winners’ across asset classes as the nation continues to recover from the pandemic.”
RREAF plans to renovate units and common areas at both properties. At Windy Shores, its team will add a dog park and revamp the office area, club house, fitness center, pool area, tennis courts, and playground. At Pearl Point, RREAF’s arranging to add upgraded technology packages to each unit.