Lightstone Value Plus REIT V Buys Houston Multifamily Property
Lightstone Value Plus REIT V Inc., a publicly registered non-traded REIT formerly known as Behringer Harvard Opportunity REIT II, has purchased the Citadel Apartments in Houston, Texas.
Lightstone Value Plus REIT V Inc., a publicly registered non-traded REIT formerly known as Behringer Harvard Opportunity REIT II, has purchased the Citadel Apartments, a 293-unit multifamily property located in Houston, Texas, for approximately $66 million, according to a filing with the Securities and Exchange Commission.
Built in 2019, the five-story property is comprised of one-, two- and three-bedroom units ranging in size from approximately 600 to 1,500 square feet. Community amenities include a swimming pool, outdoor grilling stations, a parlor with billiards, a community kitchen and coffee station, and a 24-hour fitness center with rock climbing wall, according to the property website.
In connection with the acquisition, the REIT entered into a $49 million mortgage loan scheduled to mature on October 11, 2024, with two, one-year extension options. The loan requires monthly interest payments through its maturity date and bears interest at LIBOR+2.95 percent, subject to a 3.05 percent floor through its maturity. The company received proceeds of $38 million under the mortgage loan and paid approximately $28 million of cash. As a result, the loan had a remaining availability of $11 million.
Lightstone Value Plus Real Estate Investment Trust V launched in January 2008 and closed in March 2012 after raising $265 million in investor equity. The company’s portfolio is comprised of six multifamily properties and one student housing complex, as of June 30, 2021.
