Cambridge at Hickory Hollow apartment community in Antioch has been sold for nearly $32 million to an affiliate of Passco Cos. LLC, an Irvine, Calif.-based real estate investment firm.
The acquisition is the first in the Nashville area for Passco, which owns and manages 70 properties across 20 states, including apartments, retail, office and industrial buildings.
"Nashville continues to be a sought-after market for a lot of groups because of our diverse economy and strong job growth, which translates into demand, which translates into rent growth," said Steve Massey, a local multifamily broker with CBRE who wasn’t involved with the deal. "They’re wanting to make investments with rental growth potential."
Harbor Group International LLC was the seller of the 360-unit Cambridge at Hickory Hollow at 660 Bell Road. The sale comes two years after the Norfolk, Va.-based private real estate investment and management firm acquired the complex and three other properties totaling 1,593 units for $131 million.
Gary Goodman, senior vice president of acquisitions with Passco, said the company plans exterior and interior upgrades to further elevate the Antioch apartments and to drive future rents. "Cambridge at Hickory Hollow will provide our investors significant opportunity to capitalize on the Nashville market’s current growth in commercial development, as well as its rapid job growth," he said.
Riverstone Residential Group now manages Cambridge at Hickory Hollow, where rents are between $770 and $1,200. The 19-building community is 95 percent occupied.
In December, Harbor Group sold the 624-unit Lakes of Bellevue apartment community in Bellevue for $57 million to a Miami-based investment manager. Two and a half years ago, the company sold the 260-unit Preakness apartment community in Antioch, which was part of the four-property portfolio when it acquired Cambridge at Hickory Hollow.
Reach Getahn Ward at 615-726-5968 and on Twitter @Getahn.