Distress is creeping over San Antonio’s multifamily sector.
The 285-unit Solara apartment complex at 11710 Parliament Street on the city’s North Side went into foreclosure after the owner, Austin-based GVA LLC, defaulted on a $56.3 million loan tied to the property, the San Antonio Business Journal reported.
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The lender, LoanCore Capital, has appointed independent trustees of law firm Holland & Knight to handle a foreclosure auction, scheduled for Dec. 5 at the Bexar County Courthouse. While it’s unclear how much of the loan balance remains, the original deed of trust, filed in February 2022, revealed that LoanCore provided a variable interest rate mortgage.
The Solara complex is valued at roughly $28.7 million for tax purposes by the Bexar Appraisal District, the outlet reported. Monthly rents range from $799 to $1,361, according to Apartments.com.
The Solara foreclosure is one of several signs of multifamily distress in the Alamo City. A 31-unit apartment complex in the Mahncke Park neighborhood went through foreclosure proceedings over the summer, but overall, the city’s multifamily market is going strong.
The trend is growing elsewhere in the Texas Triangle, too, with rising interest rates and imbalances in pipelines of new units complicating various local markets.