A Dallas-based asset management firm acquired The Kendrick apartment complex in Buckhead from Passco Cos., marking a drop in value from the 2019 purchase price. Orix USA purchased the 423-unit property at 925 Canterbury Road for $87.5 million, according to Fulton County property tax records and sales data from the Georgia Superior Court Clerks’ Cooperative Authority database.
Passco, the seller, was founded by the late Robert Passano, who died this past summer. The Kendrick was part of a larger portfolio of apartments acquired by Orix, which also purchased two properties in Texas valued at $200 million in aggregate. It remains unclear whether Passano was the seller of the other Texas properties.
The transaction reflects a challenging market for institutional investors. The Kendrick, a garden-style community built around 1998, sold at a nearly 18% discount from the 2019 price of $106.4 million. Orix intends to fund a capital improvement program to modernize the property, according to a press release.
“These acquisitions demonstrate our continued focus on seizing compelling investment opportunities where our balance sheet strength, active ownership approach, and disciplined property-level execution can drive meaningful value creation,” Orix Managing Director Max Dobrushkin said in the release.
For Atlanta’s multifamily market, the shift signals a cooling in pricing that benefits active owners willing to invest in renovations. New ownership often brings immediate capital improvements, which can stabilize occupancy rates in older stock that might otherwise sit vacant.
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Other Atlanta Real Estate Transactions
Another Central Perimeter office building changed hands recently. An LLC tied to Children’s Healthcare of Atlanta purchased 5775 Peachtree Dunwoody Road, a 623,000-square-foot office building, from The Simpson Organization for $68.5 million. Simpson acquired the property in 2015 for nearly $54 million.
Belmont Crossing apartments in Smyrna sold for $20.3 million. An LLC tied to Irvine, California-based Trinity Property Consultants bought the property from Texas-based Simfa Belmont Fee Simple LLC. The buyer had acquired the apartments in 2021 for $28.1 million, according to Cobb County records.
On the retail side, Oakwood Station, a 27,000-square-foot neighborhood strip mall at 3885 Mundy Mill Road in Hall County, sold for $13.3 million. The buyer, Oakwood Station Ltd., is attached to the commercial real estate brokerage firm Partners Real Estate. Shea Meddin and Brooke Gothard brokered the deal for the buyer, while Skyline Seven Real Estate represented the seller, Vitruvius Properties.
The strip center, located off Interstate 985, includes tenants such as Peachtree Immediate Care, Taco Madre Mexican Grill, American Deli, and Metro by T-Mobile. The previous owner paid $8.3 million for the property in 2020, according to Hall County tax records.