JLL Capital Markets announced that it has closed the $20.1 million sale of Edge at Kutztown, a 184-unit/552-bed student-housing community located near Kutztown University in Kutztown, Pennsylvania.
JLL marketed the property on behalf of the owner, a private investor. DLP Real Estate Capital acquired the property.
Edge of Kutztown apartments features a full appliance package, white cabinetry, vinyl tile flooring, Formica countertops, stacked in-unit washer and dryer and original bathrooms. Community features include a clubhouse, patio with grilling area, package receiving area, pool table, bike racks and vending machines.
Edge of Kutztown is located half a mile from Kutztown University, one mile from Downtown Kutztown and is proximate to various local entertainment options, including Crystal Cave, Bear Creek Ski & Recreation Area and much more. Additionally, the property is located just off Route 222 (Kutztown Bypass), providing convenient access to regional employment destinations such as Reading, Bethlehem, Allentown and Philadelphia in under 1.5 hours. Kutztown University is home to more than 7,800 students from 37 states and 38 countries. The university has a first-year retention rate of 74 percent, an average class size of 24 students and a 17:1 student/faculty ratio. Kutztown University has been named a “Best Regional University” by U.S. News & World Report annual ranking of U.S. Colleges and Universities.
The JLL Capital Markets investment sales team that represented the seller was led by Director Fran Coyne, Managing Director Tom Hall, Senior Managing Director Mark Thomson and Managing Director Carl Fiebig.
“We have seen tremendous interest in our REO and NPL sales on behalf of servicers and lenders,” said Hall. “Given the competitive unit finishes and amenity package, an investor can reposition the asset and begin renting as market rate to further increase rental income upon acquisition.”
“The Philadelphia region has had limited true value-add opportunities like the Edge at Kutztown,” added Coyne. “As a result, we had robust interest in the opportunity across the spectrum of investors. We conducted more than 20 tours and had a significant number of bidders.”
JLL Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. The firm’s in-depth local market and global investor knowledge delivers the best-in-class solutions for clients—whether investment advisory, debt placement, equity placement or a recapitalization. The firm has more than 3,700 Capital Markets specialists worldwide with offices in nearly 50 countries.