Chicago-based Habitat, a leading national multifamily real estate developer, operator and property manager, announced its acquisition of Seasons Villas, a multifamily community with 214 townhome-style rental units at 8630 Summer Wind Alcove in Woodbury, Minnesota, a sought-after suburb of the Twin Cities.
The stabilized community enjoys strong occupancy thanks to a prime location just minutes from the popular Tamarack Village shopping center and major employers, including 3M, HealthEast and Wells Fargo. Seasons Villas also offers convenient freeway access to downtown Minneapolis and St. Paul, making it an attractive commute into the city.
“From Woodbury’s high quality of life and economic stability to its strong demand for rental properties, Seasons Villas checks all the boxes of a property that supports Habitat’s mission to build and manage highly valued communities in top markets,” said Zack Zalar, vice president of investments for Habitat. “This acquisition represents a significant long-term investment for Habitat in the Twin Cities region, and we look forward to delivering exceptional value and service to our residents.”
Habitat assumed management of Seasons Villas upon closing on Nov. 1. The company’s management team prepared extensively behind the scenes before the acquisition, setting up systems and processes to provide continuity of service and ensure all residents at Seasons Villas would experience a smooth and uninterrupted transition.
In addition to routine asset preservation and maintenance improvements, Habitat plans to enhance the pet-friendly Seasons Villas community with the addition of a new dog park – the community’s first, and a highly popular amenity in the Woodbury rental market.
Habitat acquired Seasons Villas from Boston Capital Group; Willow Bridge Property Company previously managed the property. Habitat’s strategic acquisitions team managed the purchase process, supported by the Middle-Income Affordable Preservation (MAP) Fund, a $150 million joint venture between Enterprise Community Partners and Banc of America Community Development Company. The fund focuses on preserving “missing middle” housing by investing equity capital to develop and acquire properties with affordability generally between 80% to 120% of the area median income. The Minneapolis CBRE team represented the seller in the transaction.
“We’re proud to support Habitat in acquiring Seasons Villas, which will positively impact a community grappling with a shortage of good, affordable homes,” said Chris Herrmann, chief investment officer and fund manager of Enterprise’s real estate equity business, which manages the fund. “This partnership perfectly demonstrates what the MAP Fund was designed to do: ensure families have access to good homes at rents they can afford.”
Habitat’s acquisition of Seasons Villas marks a welcome return to the Twin Cities area, where the firm has managed several properties over the years, including its active property Cedarvale Highlands in nearby Eagan, Minnesota. With the addition of Seasons Villas, Habitat currently has more than 16,000 units in its national property management portfolio.
