Freeman Webb is putting its focus on strong growth markets in the Southeast as well as its hometown market of Nashville, Tennessee. To further these efforts, the full-service real estate investment and management firm has announced its exit from the Midwest with the sale of The District Apartments in St. Louis for $54.75 million.
“With the sale of The District, we are strategically exiting St. Louis and the Midwest markets to continue to focus on expansion in Middle Tennessee and the Southwest due to the strong demographics,” said president Bob Freeman. “We believe in the continued success of Tennessee. The sale provides a strong return to our investors and a large liquidity event for us to strategically redeploy in the Southeast.”
Freeman Webb acquired the 428-unit multifamily community along with the 412-unit Trilogy Apartments in St. Louis in December 2012 for $20.89 million. The District underwent a comprehensive renovation in 2014, which increased its property value and enhanced its appeal to both residents and investors. The firm sold Trilogy for $36.5 million in 2020.
“We are proud of the improvements and management we’ve provided to The District Apartments, which have made it a standout community in St. Louis,” said director of acquisitions Monroe Stadler. “The sale price of $54.75 million, or $128,000 per unit, is nearly three times the purchase price of $41,000 per unit. The successful sale underscores our commitment to delivering strong returns for our investors while maintaining high standards of living for our residents.”
Freeman Webb, which manages nearly 20,000 units in Alabama, Kentucky, Mississippi, and Tennessee, has had a strong year so far. It has added over 1,700 units under management in the Nashville metro area and 300 units in Chattanooga with 14 apartment communities. In addition, its in-house construction division, Rehab Specialists, is renovating over 500 of these units across multiple communities for two different clients. The firm has another 1,000-plus units under development and a couple hundred units in Kentucky in the pipeline for management.
