What to make of the just-closed deal that saw a Grand Island apartment complex sell for a record $80.5 million?
Yes, it has set a new high water benchmark for apartment-anchored deals in Erie County but is it an outlier or a sign post leading to future multi-family transactions?
The short answer is maybe.
This much is certain - based on filings in the Erie County Clerk's office - Florida-based investors HRNPT DE LLC bought the 376-unit, nearly decade old Heron Pointe Apartment complex from an affiliate of local developer Anthony Cutaia.
The sale price is a record, doubling the late 2024 $40.4 million deal for the Block 20 student housing complex in Amherst.
Also setting a new benchmark is the $214,000 per unit sale price - some 134% more than the regional per-apartment average sale price of $91,701.
"The deal must have made sense to the new buyers," said Chris Greco, a veteran real estate broker who specializes in multi-family deal. "The numbers must have worked out."
The deal is the latest in a series of apartment-anchored deals where some in Cheektowaga have sold for $32 million.
"Interest rates are dropping a little bit and some money is freeing up," Greco said.
Heron Pointe was developed in phases between 2016 and 2021. It includes a number of amenities including a clubhouse, heated swimming pool and a dog park.