Fairstead has purchased a 160-unit affordable housing development in Houston.
The national real estate company announced the closing of a $20 million investment for the acquisition and rehabilitation of Sunflower Terrace Apartments. The transaction marks Fairstead’s third community in Houston.
“Our investment in Sunflower Terrace reflects our dedication to the Houston community,” said Allan Izzo, senior director, development.“This effort allows us to create meaningful local impact while continuing to advance our mission of preserving and expanding access to affordable housing across the country.”
The firm becomes an owner of the property with partner Houston Housing Finance Corp. Fairstead is also taking over duties as developer and property manager. The financing partners in the deal are R4 Capital and R4 Capital Funding.
Originally constructed in 1971, the development features a blend of 10 two-story and three-story buildings spread across 7 acres. There are 24 one-, 72 two-, 52 three-, and 12 four-bedroom residences under a project-based Section 8 contract.
Amenities at the community comprise of a clubhouse, a laundry facility, a playground, a learning center for resident services, and a business center.
Fairstead said comprehensive renovations will be made to the common areas, unit interiors, building exteriors, mechanical systems, and site infrastructure. Unit upgrades will include new kitchens with updated appliances, countertops, and cabinets, while bathrooms will be upgraded with new fixtures and faucets, lighting and electrical, and more.