Austin, Texas-based GVA Communities has acquired the Residences at Woodbine Park, a 92-unit multifamily asset in Nashville, Tenn. Documents filed with Davidson County indicate the property changed hands for $21.9 million, or approximately $238,000 per unit.
The buyer landed $17.5 million in acquisition financing from Benefit Street Partners, a subsidiary of investment firm Franklin Templeton. The loan bears a variable interest rate, matures in two years and calculates to an LTV ratio of approximately 80%.
The Residences at Woodbine Park, located 4 miles south of downtown at 311 Carter St., opened in 2017. The developer was a partnership between Ashley Quinn and Nick Adler, and planning began in 2015, according to Nashville Business Journal.
Music City Turns Up the Volume
Nashville's multifamily market has consistently posted strong gains over the past year and a half. A first-quarter report from Lee & Associates highlights how rents have shot up by 16% since the first quarter of 2021, well above the national average.
These increases have happened despite intense multifamily development activity: Yardi Matrix reports nearly 4,400 units delivered with more than 17,000 underway as of November. However, with the influx of companies — and the resulting population growth — demand still appears to be rising faster than demand.
The Lee & Associates report shows that vacancy has fallen from 7.2% in the first quarter of 2021 to 5.6% at the same time this year. However, the latest quarter's figures are a slight uptick of 20 basis points compared to the end of last year.