PCCP, LLC announced it has provided a $70.7 million senior loan to Galium Capital for the acquisition of Millennium High Street, a 340-unit Class A multifamily project with 26,304 square feet (sf) of ground floor retail. Located at 4410 Westheimer Road within the Inner Loop in the Neartown/River Oaks submarket of Houston, Texas, the asset was built in 2013 by the seller, a partnership of The Dinerstein Companies and Coventry Real Estate Advisors.
Situated on a 6.3-acre site, the property contains four, four-story residential buildings and a seven-story parking garage with two levels below-grade. All the buildings are interconnected via air-conditioned walkways and there are two retail suites that are fully leased to Seasons 52 and Fidelity Investments.
The apartment units are approximately 93 percent occupied and contain 229 one-bedroom units, 91 two-bedroom units, and 20 three-bedroom units with an average size of 901 sf. The interiors feature luxury amenities, including 10- to 14-foot ceiling heights, contemporary countertops, stainless steel appliances, stained concrete bamboo style flooring, dual vanities, ceiling fans in every room, and full-size washer/dryers. The community also features Class A amenities, including a fitness center with tanning room, yoga/Pilates studio, resort style pool and spa, poolside BBQ area, dog park and washing station, and a rooftop lounge featuring a fireplace and views of downtown and The Galleria.
“The Houston multifamily market is showing signs of a strong post-pandemic recovery with net absorption in the first half of 2021 surpassing record full-year net absorption as job and population growth are driving demand for multifamily,” said Ron Bonneau, Managing Director with PCCP. “Galium Capital presented a sound business plan for Millennium High Street focused on stabilizing the asset, driving operational efficiencies, and investing additional capital to refresh the asset, including improvements to the rooftop deck.”
Millennium High Street is well-located in the Inner Loop/River Oaks submarket of Houston that is within walking distance to the many retail, entertainment, and commercial developments in the surrounding area. Directly west of the asset is the River Oaks District, which is a luxury outdoor shopping and entertainment center with a lineup of tenants including Equinox, iPic Theaters, Hermes, Dolce & Gabbana, and some of Houston’s top restaurants.