Record-breaking $22.5 Million Multifamily Sale Closes in Louisville, KY

  LOUISVILLE, KY – Marcus & Millichap Real Estate Investment Services, the nation’s largest real estate investment services firm, has arranged the sale of Vieux Carre Apartments (top left photo), a 326-unit apartment complex in Louisville.

The sales price of $22,500,000 represents a price of $69,018 per unit and a cap rate of 7.25 percent. The sale marks the highest price ever paid for 1970s-era construction, according to Marcus & Millichap Research Services. It is also the third-largest single-asset multifamily sale to close in Louisville so far in 2012.

Aaron Johnson (middle right photo), a vice president investments in Marcus & Millichap’s Louisville office, represented the seller, The Infinity Group based in Chicago. Drew Babcock, a multifamily investment specialist in the Columbia, S.C., office, sourced the buyer, a Nashville-based multifamily investment group.

            “This sale set a record price per door for 1970s-era construction,” explains Johnson, “demonstrating the increased desirability of apartments in Louisville.

As the single-family housing market continues to struggle, well-located rental communities are attracting more affluent tenants by upgrading existing facilities to meet the increased demand from high-paying renters. In addition to its irreplaceable location,

“Vieux Carre has been well maintained and managed, which has boosted NOI and will make this value-added asset an excellent long-term investment property.”

“This sale also illustrates the strength of our brokerage platform and ability to attract investment capital nationwide,” Johnson adds. “The buyer of this Kentucky property was sourced through our firm’s Columbia, S.C., office, proving that the largest network of qualified buyers results in a competitive bidding environment.”

            Located at 9811 Vieux Carre Drive, the 344,808-square foot multifamily asset was developed in two phases in 1974 and in 1979 on the corner of Hurstbourne Parkway and Shelbyville Road in one of the most affluent parts of Louisville. The unit mix includes a variety of one-bedroom, two-bedroom and three-bedroom layouts. Currently 100 percent occupied, the apartment units have recently received a number of modern upgrades, including new kitchens.

Contact:

Stacey Corso

Public Relations Manager

(925) 953-1716