Karlin Real Estate chose Dallas’ most sought-after submarket for its first North Texas multifamily acquisition.
The Los Angeles-based firm bought The Brady, at 2728 Cedar Springs Road in Uptown, according to a release. Blackstone Real Estate Debt Strategies provided the financing. The seller is Dallas-based JLB Residential, deed records show.
Terms of the deal weren’t released, but the property was valued at $128.4 million for tax purposes this year.
The Brady is an 18-story, 302-unit apartment building that was delivered in 2017. It’s adjacent to Dallas’ popular Katy Trail and features a seventh-floor pool. Karlin plans updates, the release said.
The property is situated at the epicenter of “Y’all Street,” which refers to Dallas’ growing reputation as a financial hub rivaling Wall Street.
The area will soon be home to Parkside Uptown, a 30-story tower from KDC and Pacific Elm for Bank of America’s new office, and Hunt Realty’s NorthEnd, an 11-acre, mixed-use project that will include a campus for Goldman Sachs. Plus, the New York Stock Exchange is setting up shop at Crow Holdings’ Old Parkland, on the other side of Turtle Creek.
Since 2020, Karlin has been focused on building its multifamily portfolio in Austin, acquiring more than 1,100 units in the last five years. The developer has mixed-use projects, like Verde Square.
Multifamily operators around the state have been struggling after a historic glut of deliveries pushed rental rates and occupancy levels down.
In May, Dallas-Fort Worth reported a 1.5 percent decrease in rents over the last year, according to Yardi Matrix. The Metroplex’s occupancy rate of 92.6 percent put it at third-lowest among the country’s 30 largest cities.
The luxury set has been somewhat shielded from market challenges. The Brady’s website advertises one-bedroom apartments starting at $2,720 per month. Two-bedroom apartments start at $4,360. The average rent in Dallas hovers around $1,400.
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