Marcus & Millichap, a leading commercial real estate brokerage firm specializing in investment sales, financing, research and advisory services, announced the sale of The Hub and 6500 South, two multifamily assets located in Dallas and Arlington, Texas, respectively. The assets sold for a combined $82 million.
“Located in dynamic and desirable submarkets in Dallas and Arlington, these two assets garnered a great deal of attention during our sales process despite challenges in the capital markets,” said Al Silva, senior managing director investments in Marcus & Millichap’s Fort Worth office. “The Hub and 6500 South share many similar qualities that have enhanced their value over the past few years, including substantial capital improvements to create well-maintained properties with updated communal and in-unit amenities.” Silva and Marcus & Millichap’s Ford Braly represented the sellers and procured the buyers in both transactions. The sellers were Intercapital Group for 6500 South and Madera Residential for The Hub, and the buyers were two separate Dallas-Fort Worth-based private investment companies.
6500 South is a 536-unit, vintage Class B quality asset situated along North Cockrell Hill Road, just north of Interstate 20. The property is a short commute from Downtown Dallas, near notable economic drivers such as Southwest Center Mall, Dallas Executive Airport, Methodist Charlton Medical Center, and numerous industrial warehouses and distribution centers.
The Hub is a 168-unit Class B property within a mile of Interstate 30, which provides convenient accessibility throughout Arlington. The Texas Rangers Golf Club is across the street and Six Flags Hurricane Harbor, AT&T Stadium and multiple schools and employment hubs are nearby.
“We continue to see high levels of activity in the Dallas-Fort Worth multifamily market and these two transactions are certainly a part of that velocity,” added Braly. “These sales represent the strong demand for assets with high occupancy levels, favorable local demographics and convenient access to entertainment and retail.”
The new owners at both properties are planning to implement aggressive value-add strategies by making select improvements to common areas and unit interiors and will also implement new management strategies that seek to maximize the appeal to area renters. Since the beginning of 2021, the Fort Worth-based Silva Braly Multifamily Team of Marcus & Millichap has brokered 50 apartment property sales in the Dallas-Fort Worth area totaling over 10,000 units and $1.2 billion in transaction volume.