BSR Acquires Two Houston Apartment Complexes for $141M

BSR Real Estate Investment Trust of Little Rock on Thursday announced the purchase of two recently built multifamily properties in the Houston area for $141 million.

The transaction is part of the company’s effort to reshape its portfolio in its core Texas market.

Forayna Vintage Park Apartments is a 350-unit apartment complex in Houston. Botanic Luxury Apartments is a 288-unit complex in Spring, Texas. Both complexes were built in 2023 and have amenities including a saltwater pool, two-story fitness center, cyber lounge, movie theater and pet spa.

The seller was Davis Development of Atlanta, Georgia.

The deal comes after BSR completed the $618.5 million sale of nine Texas multifamily properties to AvalonBay Communities Inc. of Arlington, Virginia, with plans to redeploy the proceeds toward acquisitions with higher potential returns.

“We have wasted no time finding two high-quality assets that complement our portfolio, enhance the REIT’s growth profile, and allow us to accretively redeploy a portion of the proceeds from our recent sale of nine stabilized properties,” Dan Oberste, CEO of BSR, said in the release. “Forayna Vintage Park and Botanic Luxury are both well positioned to benefit from the BSR operating platform and drive growth for our unitholders. By adding these communities, we have quickly executed on a significant portion of the strategy we presented to the market in the first quarter of the year.”

BSR now owns 25 properties consisting of 6,802 apartment units.

The company, which is publicly traded on the Toronto Stock Exchange (TSX HOM.U), recently reported first-quarter operating income of $24.03 million, up 0.8% from the previous year. Net operating income is a key measure of performance used by real estate operating companies and REITs.