12ten Capital has acquired Harper’s Mill, a 180-unit multifamily community in Houston, from Interurban. The garden-style property was originally delivered in 1984 and is now set to undergo a value-add program as 12ten Capital looks to update and reposition the 42-year-old asset.
Berkadia’s Houston Investment Sales team represented Interurban in the transaction. The team included Kyle Whitney, Chris Curry, Jeffrey Skipworth, Chris Young, Joey Rippel, Jed Dalton and Tucker Fama. Their mandate focused on marketing the property and executing the disposition on behalf of the seller.
On the debt side, Berkadia professionals based in Miami and Boca Raton arranged financing for the buyer. Brad Williamson, Mitch Sinberg, Scott Wadler, Matthew Robbins and Kyle Ryan secured the loan on behalf of 12ten Capital, aligning long-term fixed-rate debt with the sponsor’s value-add business plan for the property.
Santander provided the acquisition financing in the form of a five-year, fixed-rate loan. The capital stack features three years of interest-only payments followed by a 30-year amortization schedule, providing near-term cash flow flexibility before amortization begins. Specific loan proceeds and pricing were not disclosed.
Harper’s Mill consists of a mix of one- and two-bedroom units, including one-bedroom townhome-style layouts. The community is described as well-amenitized and is zoned to Katy Independent School District, which is identified as the top-ranked school district in the Houston metro area. The combination of established vintage, planned upgrades and strong school zoning positions the asset within a competitive segment of the local multifamily market.
Interurban, the seller in the transaction, is an active multifamily investor and asset manager. The firm owns and asset-manages more than 8,000 apartments across the United States, with an institutional asset value reported to exceed $500 million. The disposition of Harper’s Mill reflects ongoing portfolio activity for Interurban while providing 12ten Capital with an additional value-add opportunity in Houston.
