Steadfast Apartment REIT III Acquires First Asset for $7.6 Million

Steadfast Apartment REIT III Inc., a publicly registered non-traded real estate investment trust, purchased its first community, Carriage House Apartments, a 136-unit complex in the Chicago suburb of Gurnee, Illinois for $7.6 million.

In connection with the property acquisition, an annual cash distribution of 6 percent for class A shares and 5.2 percent for class T shares will begin being paid.

“We are very pleased to kick off Steadfast Apartment REIT III with the purchase of Carriage House. The community is approximately 98 percent occupied and well-positioned within the market,” said Ella Shaw Neyland, president of Steadfast Apartment REIT III. “We intend to target quality, mid-tier assets and seek opportunities to convert good properties into better ones by introducing our extensive institutional resources.”

Constructed in 1970 on 8.4 acres, Carriage House is comprised of 17 two-story buildings with one- and two-bedroom layouts that average 653 square feet. Average in-place rents are $741 per month. Community amenities include a swimming pool with sundeck, pool house with a locker room, picnic area, laundry facilities and additional storage.

The REIT plans to invest additional capital on unit improvements, including new appliances, upgraded bathroom and kitchen counters, fresh paint and upgraded flooring.

Steadfast Apartment REIT III is sponsored by Steadfast REIT Investments, an affiliate of Steadfast Companies, an Orange County, California-based group of affiliated real estate investment and operating companies that acquire, develop and manage real estate in the U.S. and Mexico.

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