Marcus & Millichap Sells $12.48M Apartment Complex in Falls Township, PA

FALLS TOWNSHIP, PA, July 6, 2009 – Marcus & Millichap Real Estate Investment Services, the nation’s largest real estate investment services firm, has arranged the sale of Newport Village, (top left photo) a 182-unit garden-style apartment complex in Falls Township.

The sales price of $12.48 million represents $68,571 per unit and $103 per square foot.

Ridge MacLaren, Jr., vice president investments and a senior director of the firm’s National Multi Housing Group, along with multi-family investment specialists Clarke Talone and Andrew Townsend, in the Philadelphia office, represented the seller, Newport Village Associates LP. Marcus & Millichap also procured the buyer, NV Partners LP.

“Despite a challenging environment in real estate right now, the buyer was able to look past the rhetoric and focus on the long-term fundamentals of the property,” says MacLaren. “We had tremendous interest during our marketing campaign for this asset.

"There were more than 10 offers, but the buyer stepped up with an aggressive financing package through Fannie Mae. Despite ongoing negative economic reports, the buyer and seller were able to complete this transaction smoothly and efficiently,” adds MacLaren.

Located on nine acres at 8590 New Falls Road in Falls Township, the 120,624-square foot property is conveniently located in Lower Bucks County, just off Interstate 95 and the Pennsylvania and New Jersey turnpikes, providing easy access to Philadelphia, New York City and Trenton, N.J.

“Despite the negative press, this is a good time for buyers and sellers of multi-family properties,” remarks Talone.

“For assets with stabilized operations and strong occupancy levels, Fannie Mae and Freddie Mac are quoting non-recourse loans at 75 percent to 80 percent loan-to-value with interest rates of approximately 6 percent.

"At these rates, buyers are still willing to complete transactions in this marketplace. Buyers with a longer hold strategy are going to see solid returns because of the attractive debt and cap rates,” he adds.

Press Contact: Stacey Corso, Communications Department, (925) 953-1716