- Taskflo
By Kinan Beck
“There is news of two big purchases in Austin. The first involves the purchase of over 1.5 million acres of timberland. Temple-Inland Inc. sold the property to an affiliate of the Campbell Group. The selling price was reportedly $2.4 billion. 0.4 of the purchased acres are in Alabama, Louisiana, and Georgia, but the bulk of the purchase is located in East Texas. Temple-Inland Inc. is expected to make net cash proceeds of $1.8 billion and is expected to grant common stockholders $1.1 billion, or $10.25 per share after the purchase.
The timberland agreement includes a 12-year fiber saw timer supply agreement and a 20-year pulpwood fiber supply agreement. In addition, affiliates of The Campbell Group have promised to maintain Temple-Inland Inc.’s commitment to the environment. This likely means that the new investors will have to continue the conservation efforts started by Temple-Inland Inc. and will likely have to adhere to the same environmentally-conscious use of the land. During the deal, Temple-Inland Inc. used Goldman, Sachs & Co. and Citigroup Global Markets Inc. as financial advisors and Sutherland, Asbill & Brennan LLP as legal advisors. The Campbell Group LLC, used Morrison & Foerster LLP and Schwabe, Williamson & Wyatt as legal advisors during the deal.
In addition to the timberland purchase, another key purchase in the area occurred recently when a Los Angeles-based company, M&A Real Estate Partners, bought Balcones Club Apartments. The 312-unit Balcones Club Apartments were owned by Equity Residential Properties Trust. The new investor hopes to renovate the building, which is now 23 years old. It is possible that the new owners hope to turn this Class B apartment building into something a little more upscale. The 13 acres on 9218 Balcones Club Dr are certainly a great investment and a great place for tenants. Currently, Balcones Club Apartments features one- and two-bedroom units that span 464 to 1,150 square feet each. Rents for the units range from a very reasonable $506 to $859.
Balcones Club Apartments currently features a number of amenities that appeal to tenants. Corner fireplaces, wet bars, oak cabinets, built-in microwave ovens, window seats, vaulted ceilings and plenty of storage room are just some of the features of the residential units. In addition, the apartment complex does offer lofts and town homes as well as more traditional apartments. This pet-friendly building is close to major thoroughfares and major employers, including IBM, Lakeline Mall, 3M, TI, and State Farm. The building boasts two pools as well as well-maintained common areas. Many units features great views and there is a fitness center available for tenants as well. Students in the building attend Spicewood Elementary, Canyon Vista Middle School, and Westwood High School. It will be interesting to see in the upcoming months what sort of upgrades and renovations the new investors have planned for this residential community. The building, nestled between Highway 183 and the Balcones Country Club golf course, was 97% occupied at the time of the sale.”
About the Author: Kinan Beck is the Broker and co-owner of One Source Realty in Austin Texas. Visit Kinan’s
Austin Apartment
Guide, visit his
Austin Apartment Locator
company’s website.
Source:
isnare.com
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