Resource Real Estate Opportunity REIT II Acquires Texas Asset

Resource Real Estate Opportunity REIT II (Opportunity REIT II) recently announced that it has purchased its first asset, after reaching the $2 million minimum offering amount for its initial public offering. The non-traded REIT has acquired a multifamily property in Dallas, Texas for a purchase price of $9.5 million, excluding closing costs.

Situated on approximately 6.3 acres, the property is 99% leased and contains about 130,000 rentable square feet and 152 units. It is located in what is known as Dallas’s “Platinum Corridor”, a neighborhood submarket that is home to such employers as Coca Cola, Wells Fargo, and FedEx. The area contains more than 36 million square feet of office space and spans nearly 20 miles of the Dallas North Tollway.

“We’re pleased to have successfully completed the purchase of the Opportunity REIT II’s first asset,” said Kevin Finkel, President and COO of Resource Real Estate Opportunity REIT II. “Located in the Dallas Platinum Corridor, the property is situated in a market that we believe will continue to experience employment growth. Through our anticipated capital improvements, we believe this property may experience higher resident demand and be able to take advantage of increased rents,” he added.

Built in 1980, the REIT intends to improve the property through renovations to the leasing center and updates to all unit interiors. Opportunity REIT II funded the purchase price with proceeds from its ongoing initial public offering, proceeds from its $7.5 million Mortgage Loan with Berkadia Commercial Mortgage, LLC, and proceeds from its $1.3 million Bridge Loan with Resource Real Estate Opportunity Advisor II, LLC, the REIT’s external advisor.

Sponsored by Resource Real Estate, Opportunity REIT II seeks to build a portfolio of multifamily real estate throughout the United States. The $1 billion offering is still open to new investors.