Avanath Capital Management has invested $100m (€90.7m) in two US affordable apartment communities.
The real estate manager said it has bought the two communities with a combined total of 578 units in Alexandria, Virginia and Orlando, Florida.
The 290-unit Alexandria Station affordable apartment community was acquired for $52.7m. The 251,579sqft asset, built in 1965 and renovated in 1998 and 2010, is a 97% occupied affordable family community comprising 25 three-story structures.
Avanath expects to implement a series of upgrades to the interior and exterior of the property, including the redevelopment of its community spaces.
The 288-unit Brooke Commons in Orlando, Florida was acquired for $46.5m.
Built in 2000, Brooke Commons is a 99% occupied family community comprising 36 two-story buildings.
John Williams, president and CIO of Avanath Capital Management, said: “Both the Washington DC Metro and Orlando markets align well with Avanath’s investment strategy of targeting markets with strong economic, job, and population growth where home affordability is becoming increasing more difficult and market-rate rents continue to rise.
“These are some of the nation’s most cost-burdened markets with a demonstrated demand for affordable housing properties. They present opportunities for our firm to invest in properties where we can preserve affordability for residents and produce steady returns for our investors.”