BV Capital has fully subscribed Bridgeview’s inaugural offering, BV Design Multifamily DST, raising $31.14 million for the acquisition and renovation of a 214-unit class A project in Dallas’s eclectic Design District.
The DST, which is a Regulation D private placement, funded the acquisition of The Dunhill, soon to be rebranded The Adelphi, at 1900 Hi Line Dr., an irreplaceable infill location with neighbors like the 214-key Virgin Hotel and Dallas Urby’s 27-story multifamily twin towers.
“We saw The Dunhill as an excellent opportunity to provide the DST space with a value-add, core-plus investment at a five-star location,” said Rob Anderson, BV Capital’s president. “It’s rare to see a product of this caliber in the DST marketplace.”
Completed in 2010, The Dunhill is a four-story wraparound design with a parking garage on 4.11 acres. Amenities include a saltwater pool with underwater speakers, clubhouse, high-tech gym, business center, amphitheater, outdoor picnic areas and dog park. The well-appointed units range from 665 square feet to 1,671 square feet, a mix of studios and one- and two-bedroom floor plans.
The Dunhill is situated in the heart of the Design District, a vibrant live-work pocket neighborhood with a unique collection of hip and one-of-a-kind small shops and entertainment venues that are within walking distance of the property. Directly across the street is trailhead access to the first phase of the Trinity Strand Trail, a walking and biking path that will stretch 7.8 miles along the original channel of the Trinity River to the Katy Trail in Uptown at completion.
The submarket is experiencing effective rent growth of 12 percent to 15 percent in the multifamily sector, a factor of its infill location and surrounding amenities. The Dunhill is a mere two miles from the Central Business District and less than one mile from Uptown Dallas, both of which are major employment centers with a continuously growing roster of international and national firms. The property is within blocks of on- and off-ramps for Interstate 35 and the Dallas North Tollway.
“The Dunhill is just the beginning for us in the DST market, where we expect to provide more value-add investment opportunities,” said Steve May, Bridgeview’s president and founder.
Bridgeview is a family of integrated companies that includes BV Capital and Bridgeview Multifamily, which has a portfolio of six stabilized class A communities, totaling 1,170 units, and six developments with an additional 1,966 apartments under construction. The properties, which will be valued at more than $330 million upon completion, are located in Arlington, Corpus Christi, Dallas, Denton, Fort Worth, Houston, Mansfield and New Braunfels, all strong Texas markets and several with high barriers to entry.