Fairstead Announces $242M Multifamily Real Estate Acquisition and Rehabilitation in Houston
HOUSTON — Fairstead announced the $242 million acquisition and rehabilitation of Haverstock Hills Apartments, a 700-unit affordable multifamily housing community located at 5619 Aldine Bender Road in Houston’s East Aldine neighborhood. The transaction reflects the firm’s continued focus on affordable housing preservation.
Fairstead Expands Houston Multifamily Real Estate Portfolio
According to the company, the acquisition brings Fairstead’s Houston portfolio to nearly 2,000 affordable homes and expands its national footprint to more than 27,000 residences across 28 states. The rehabilitation will include upgrades to unit interiors, building exteriors, and shared amenities, as well as new safety and security measures designed to improve resident wellbeing.
“Our team has made meaningful investments in the city of Houston this year, growing our footprint to close to 2,000 homes in one of the nation’s fastest growing metro areas,” said Jeffrey Goldberg, CEO of Fairstead. “As long-term stewards of our communities, we aim to substantially improve resident well-being at Haverstock Hills Apartments, using stabilized, quality housing as a means to deliver services and programs that uplift residents and improve communities.”
Details of the Real Estate Acquisition and Financing
The $242 million transaction was financed with support from PNC Multifamily Capital, which provided both senior debt and equity. Additional limited partners include the Harris County Housing Finance Corporation and Rainbow Housing Assistance Corporation. The property consists of 44 two- and three-story buildings on 22 acres, offering studios and one- to three-bedroom units. All homes are supported by project-based Section 8 contracts and governed by Low-Income Housing Tax Credit (LIHTC) affordability restrictions, serving residents earning 60% or below the area median income.
“Houston continues to experience strong in-migration population growth and economic resiliency,” said Allan Izzo, Senior Director of Development at Fairstead. “We look forward to our ongoing collaboration with city officials and community partners to identify pathways to narrow the housing affordability gap for essential workers and growing families in the area.”
Project Scope
Under Fairstead’s ownership and management, Haverstock Hills will undergo a comprehensive rehabilitation that includes in-unit enhancements such as new kitchens with energy-efficient appliances, updated countertops and cabinetry, refreshed bathrooms, new flooring, and freshly painted walls, along with exterior and common area improvements. The timeline for completion was undisclosed.
Source: Fairstead press release