S2 Capital Stays in the Large Buyer Category With Recent Acquisitions

S2 Capital ranks among the largest multifamily buyers in Texas with its latest four-property acquisition, bringing its total number of units in the Lone Star State to 16,000. The 1,893-unit transaction includes Hyde Park at Monfort in Dallas (662 units), Twin Creeks Crossing I (347 units) and Twin Creeks Crossing II (330 units) in Allen, and Tintara at Canyon Creek in Austin (554 units). 

S2 plans to spend more than $7.2 million on renovations at the Tintara at Canyon Creek property, some of which include upgrading the pool, leasing office, gym, flooring, appliances and countertops. Additionally, S2 will spend more than $6.6 million on Hyde Park at Montfort interior and exterior renovations.

“When COVID first hit, S2 quickly recognized that the market trends we witnessed in Texas and the Sunbelt pre-pandemic were going to dramatically accelerate in a post-pandemic environment,” said Scott Everett, S2 Capital CEO. “The 10-Year Treasury spread to cap rates jumped 300 basis points overnight and we started buying as much as we could handle.”

Taylor Snoddy, James Roberts and Philip Wiegand of NorthMarq’s Dallas investment sales team represented the seller of the transaction. NorthMarq’s Jeffrey Erxleben, Lauren Bresky, Kevin Leamy and Loren Heikenfeld arranged floating rate debt that was heavily tailored to the sponsor’s business plan.