Disrupt Equity has expanded its multifamily presence in the Austin and Houston areas with the purchase of a three-property portfolio totaling 673 units. The firm and partner Open Door Capital acquired the assets from Nitya Capital.
Jim Young, senior managing director at Newmark, which advised the seller, disclosed in prepared remarks that the transaction was completed through a CMBS loan assumption offering loan terms that were better than current market options.
Located in Austin, the 297-unit Treehouse is situated on a nearly 12.5-acre site at 2501 Wickersham Lane. Being within Austin’s East Riverside Corridor, residents have convenient access to downtown Austin and the Austin-Bergstrom International Airport.
The 168-unit Waterstone Place in Stafford, Texas was built between 1997 and 2001 with floorplans that average 1,030 square feet, while Stonecreek has 208 units averaging 830 square feet and is located in Katy, Texas. According to Newmark, both Stonecreek and Waterstone Place are located in submarkets with strong rent growth and high absorption rates.
Swapnil Agarwal, founder & CEO of Nitya Capital, said in prepared remarks that the firm had implemented significant value-add measures to the properties since acquiring them four years ago. The new ownership will put its in-house property management firm, Disrupt Management, in charge of handling the three communities.
Successfully selling Texas communities
Disrupt Equity’s portfolio of multifamily properties is mostly located in the southeastern U.S. Outside of Texas, the Houston-based firm has assets in Daytona, Fla., and Atlanta. Nitya Capital, meanwhile, has acquired 129 properties since being founded in 2013. Earlier this year, the firm sold four of its Texas communities in separate transactions.
