Hollister Looks to Income Gains, Value Appreciation Under New Ownership

Hollister Apartments, a 156-unit multifamily garden-style community in the Dickinson suburb of Southeast Houston, recently sold for an undisclosed purchase price. The buyer was a New York real estate investment firm.

Chris Young, Joey Rippel and Kyle Whitney of Berkadia Houston represented the seller, Sunstone Properties Trust, a multifamily real estate investment manager based in Southern California. Berkadia’s Johnny King secured acquisition financing on behalf of Lone Star Capital. Freddie Mac originated the loan.

“Current ownership has invested $6 million in renovations, and all common areas and amenities were updated, causing a 40 percent rent increase,” said Young. “Hollister is primed for additional income gains and value appreciation under new ownership.”

Built in 1976 and renovated in 2019, Hollister Apartments is located at 810 Deets Rd.

“High barriers-to-entry due to zoning around this community has resulted in limited competition from newer product,” says King. “Hence, workforce product and especially renovated communities like Hollister are positioned to outperform peers in this submarket.”