Galleria area: Florida Investor Buys Houston Apartments

Chateaux Dijon Apartments

In Houston, Florida-based Avesta Communities purchased the 426-unit Chateaux Dijon Apartments in an off-market transaction topping $45 million.

The project is set on 10.8 acres at 5331 Beverly Hill St., within walking distance of the Galleria. Chateaux Dijon was 90 percent leased at sale time.

The buyer’s broker, Glenn Dickerson of NewQuest Properties negotiated with the seller, FHB Beverly Hill LP.

“This was a one-time opportunity. This is one of the few tracts of that size in close proximity to the Galleria,” Dickerson says. “It was an opportunistic purchase.” The site is south of Richmond Avenue and west of South Rice Avenue.

Chateaux Dijon is a mix of one-, two-, three- and four-bedroom apartments, ranging from 510 SF to 1,380 SF.

“Chateau Dijon is a valuable piece of property in an area commanding $125 to $300 per SF. The seller knew my client was a credible buyer with a good reputation for closing,” Dickerson says, “and with it being the seller’s only holding in Houston, the motivation to sell was strong.”

Chateau Dijon is Avesta’s third purchase in the Houston metro. The Avesta portfolio contains more than 12,000 units in Florida and Texas.

Dickerson is scouting the market for additional purchase opportunities for Avesta. “NewQuest typically doesn’t venture into multifamily, but I like to move across all categories of commercial real estate. It allows me to keep a pulse on the market overall,” he adds.