NewStar Exchange, a sponsor of Delaware statutory trust offerings, has purchased The Residences at Village Park Center, a built-to-rent single-family residential community located in The Villages, approximately 55 miles northwest of Orlando, Florida.
The property was purchased with no debt on behalf of NE1 BTR Villages DST, a Delaware statutory trust offering that seeks to raise $16.3 million in equity from accredited investors. The minimum investment is $100,000 for 1031 exchange investors and $25,000 for cash investors. The offering is being distributed by Preferred Capital Securities.
The Residences at Village Park Center is 100 percent leased and includes newly constructed single-story, three-bedroom/two-bathroom floor plans totaling 1,544 square feet. The homes have attached two-car garages, stainless steel appliances, and screened-in lanais, among other amenities.
Average in-place rents at the property are $1,996 per month, or $1.29 per-square-foot, with recent leases at $2,095, or $1.36 per square foot.
“We are excited to announce the closing of our second investment for NewStar Exchange,” said Joe Gibson, chief investment officer for NewStar. “Located in the center of The Villages, The Residences at Village Park Center is a rare, non-age restricted BTR community that caters to the broader local population, including the employees of The Villages’ community and their families. Given the ongoing growth of The Villages and limited non-age restricted family housing, we believe the property will continue to experience significant demand.”
According to the company, citing U.S. Census Bureau data, The Villages was the fastest growing U.S. metropolitan area from 2010 to 2019, and it is the largest active adult community in the world, with a total population of more than 130,000 spanning three counties and approximately 33,000 acres.
NewStar Exchange, a subsidiary of NewStar Asset Management, invests in and manages Class A multifamily and single family built-to-rent residential communities in growing suburban locations across the Sun Belt.
Preferred Capital Securities is a third-party managing broker-dealer focused on both back-office services and the wholesale distribution of alternative investments to independent broker-dealers and registered investment advisors across the United States and Puerto Rico. The company is currently the managing broker-dealer of NewStar Exchange, the preferred stock offering for Preferred Apartment Communities (NYSE: APTS), the preferred stock offering for Prospect Capital Management (NASDAQ: PSEC), The Priority Income Fund, and WhiteHawk Minerals.
Preferred Capital Securities has raised more than $3 billion in retail capital across eight offerings which have issued approximately $1 billion in liquidity for its investors since the firm’s inception in 2011.