Passco Cos. Acquires 306-Unit, Class A+ Multifamily Asset in Rapidly Growing Lexington, KY for $62.4 Million

  

Colin Gillis

Lexington, KY (March 1, 2019) — Passco Companies, a privately-held California-based real estate company that specializes in the investment, acquisition, development, and management of commercial properties throughout the U.S., has acquired The Henry at Fritz Farm, a 306-unit, Class A+ multifamily community in the high-growth market of Lexington, Kentucky, for $62.4 million from the Dobbins Group of Birmingham, Alabama, according to Colin Gillis, Vice President of Acquisitions at Passco.

Rendering of The Henry at Fritz Farm, Lexington, KY

The apartment community is integrated into one of the Southeast’s leading entertainment and retail districts, The Summit at Fritz Farm.

Chris Black and Caleb Marten of KeyBank Real Estate Capital’s Commercial Mortgage Group arranged acquisition financing on behalf of Passco Companies.

Mike Kemether

Dobbins Group, developer of The Henry at Fritz Farm, engaged the Cushman & Wakefield/Commercial Kentucky team of Mike Kemether and Craig Collins to market The Henry.

“We are delighted to work with Passco once again and bring them an opportunity to add this exceptional asset to its portfolio. Colin and the team have demonstrated the utmost professionalism and integrity, making this a smooth process and close for all parties involved,” says Kemether.

 “Henry at Fritz Farm is truly one of the most unique multifamily treasures in the entire Southeast.

Craig Collins

"Embedded within Summit at Fritz Farm, quite possibly the best example of successful mixed-use development integration anywhere, Henry residents have immediate access to over 70 street-level shops, including more than 20 dining options, outside their front doors. 

"I would stack this lineup up against any gateway city mixed use deal in the country.”

Collins adds: “Henry at Fritz Farm has raised the bar with regard to apartment living in my state of Kentucky, with incredible amenities both within the apartment complex and with the surrounding Summit at Fritz Farm.”

Chris Black

Developed by Bayer Properties of Birmingham, Alabama, this highly-walkable, mixed-use, master planned community features over 280,000 square feet of Class A+ retail with a mix of local, regional and national tenants, including notable anchors Whole Foods, William Sonoma, Pottery Barn, lululemon and Anthropologie. 

Rendering of The Summit at Fritz Farm, Lexington, KY

The Summit is also home to twenty restaurants including J Alexanders, The Barn: a nationally-recognized local-fare food hall, and the state of Kentucky’s only Shake Shack.

 The Summit is rounded out by a high-end office component and a soon-to-be-open 120-room upscale Origin Hotel, the boutique’s third location in the United States.

Characterized by affluence, a highly educated talent pool, and an abundance of high-paying employment opportunities, the Lexington market has demonstrated tremendous growth in recent years, including a population increase of nearly 25 percent from since 2010, notes Gillis.

Caleb Marten

“Lexington is a very wealthy, established community that continues to grow and create numerous new high-paying jobs, and that is certainly reflected in the absorption rate and the on-site demographics at The Henry,” explains Gillis.

“The property has one of the most affluent tenant bases of any community in any market in which we have ever acquired, and perhaps the lowest rent-to-income ratio in our portfolio.

"We have enjoyed tremendous success in recent years employing the strategy of identifying unique, irreplaceable assets with exceptional demographics and little-to-no competition in the secondary markets of the Southeast.

Rendering of planned Origin Hotel, Lexington, KY

"We find that that properties as unique as The Henry with a top-tier resident profile often perform exceptionally better than their primary-market peers”

Completed in 2017, The Henry features a mix of one-bedroom, two-bedroom, and three-bedroom flats with modern design elements including open-concept floorplans, 9-foot ceilings, plank flooring, oversized patios or balconies, and oversized windows.

 CONTACTS:

Elisabeth Manville / Lexi Astfalk

Brower Group

(949) 955-7940

emanville@brower-group.com

www.cushmanwakefield.com or follow @CushWake on Twitter.