Praxis Capital Acquires Apartment Complex in Austin
Praxis Capital LLC, a private equity investment firm, has acquired the 54-unit Walnut Grove Apartments in Austin, Texas, for an undisclosed price.
Despite tight credit circumstances, the Santa Rosa, Calif.-based company was able to obtain the multifamily complex at extremely deep discounts using an all-cash proposal. The closing closed within seven days of signing the purchase contract.
The company plans to invest over $10,000 to renovate every unit and upgrade the property to make it a desirable place to live.
According to analysts, Austin is one of the top thriving cities in the nation. For the past 12 months, the annual job growth rate in Texas has steadily increased. Austin also led the nation in economic recovery and Kiplinger.com, a personal finance magazine, ranked the city as the “best city for the next decade.”
“These factors along with many other analytics bring us to the conclusion that growth, economic stability and demographics are creating a timely opportunity for multifamily residences in this area,” said Brian Burke, managing director of Praxis Capital. “This is a very well located asset that was neglected, experienced a foreclosure, and this represents a great opportunity to make this a very desirable property for our residents and investors.”
Besides Austin, the company plans to acquire another 7,500 units in the major Texas metros.