Financial details have emerged on the recent purchase of the luxury West End Station apartment complex near downtown Winston-Salem.
An affiliate of EBSCO Income Properties LLC, an Alabama multi-family residential group, bought the 229-apartment complex for $52.5 million in December, according to a Forsyth County Register of Deeds filing.
EBSCO has not commented on its plans for the complex, which sits on 4.31 acres at 206 N. Green St. near the center of downtown and BB&T Ballpark.
On Friday, Hunt Real Estate Capital of New York said it provided a Freddie Mac conventional lease-up multifamily loan of $38.2 million. The loan has a 13-year term that will amortize over 30 years and is interest-only for the first six years.
The property was completed in 2019 and includes a four-story mid-rise building. There are nine different one-bedroom options and three two-bedroom plans.
EBSCO has an ownership interest in 19 multifamily properties totaling 5,190 units valued at more than $425 million.
“West End Station offers Class A community amenities and unit interior finishes with walkability to all of downtown’s employment, nightlife and retail offerings, while also being conveniently removed from the congestion and traffic of other competitors further east,” said Chad Hagwood, senior managing director at Hunt.
“Although this deal had numerous moving parts — including a tax abatement — everyone worked hand in hand to bring it to a successful close.”
The sellers of West End Station gained a significant profit from the sale considering it spent $35 million on the project.
In May, Hunt provided a similar Fannie Mae conventional loan package of $18.8 million to refinance a student housing property, Villages at Wake Forest, in Winston-Salem.
The borrower is Wake Forest Student Housing Associates, LLC. The community contains 270 bedrooms and a total of 69 units off Palm Drive.
West End Station is the latest — and most expensive — in a significant wave of apartment-complex sales in Forsyth County.
At least 37 existing apartment complexes have sold in Forsyth over the past 18 months for a combined $378.2 million. Most have been sold to out-of-state buyers.
West End Station contains 188,610 square feet and with an average apartment size of 824 square feet.
It occupies a section of town that was once planned as “Unity Place,” which in 2003 was announced as an office, entertainment, arts and residential development stretching from Broad Street to Brookstown Avenue and from Second to Fourth streets, including a planned corporate headquarters of Krispy Kreme.
By 2005, corporate troubles at Krispy Kreme had basically put an end to Unity Place. West End Village emerged to take its place with a plan for condominiums, townhomes, and office and commercial spaces.
Condominiums were built at the corner of Fourth and Broad, but the 2008 recession stopped further development at that time.