BRT Apartments acquires apartment complex in Auburn for $36.5M

BRT Apartments (BRT) announced the acquisition of 1322 North, a 214-unit Class A apartment complex in Auburn, Alabama. The acquisition of 1322 North complements BRT’s ownership of The Village at Lakeside, an Auburn, Alabama property it has owned since 2019. The properties are located one mile from each other and near the region’s two largest employers, Auburn University and East Alabama Medical Center. 1322 North was constructed in 2002 and consists of 214 apartment units contained in 14 two- and three-story residential buildings. BRT acquired the property for $36.5M through a joint venture in which it has an 80% equity interest. The mortgage matures in 2032, bears a 5.38% fixed interest rate, and is interest only through maturity. The joint venture contributed $13.4M of equity for the transaction of which $10.7M was contributed by BRT. In connection with its equity contribution, BRT borrowed $7M from its $40M credit facility which bears a current interest rate of 6.87%. BRT intends to pay off this outstanding balance through mortgage financings and refinancings from time-to-time through March 31, 2026.