A Knoxville real estate company that has already built or bought a handful of other apartment and senior living complexes in Chattanooga made its biggest purchase yet into the local market this week, paying $41.7 million to buy the Riverview Grande Apartment complex in North Chattanooga.
The Dominion Group, which has bought and upgraded other apartment complexes in Hixson and East Brainerd, plans to continue the refurbishing and improvements started by the previous owners of the Riverview Grande in North Chattanooga.
“We’ve been extremely interested and active in Chattanooga where we see good job growth and a growing demand for apartments and this is a continuation of that strategy,” said Kevin O’Brien, director of development at Dominion Group. “We’ve been looking in the Northshore and North Chattanooga area and we just love the activity and momentum going on in that part of town. This was a great opportunity to enter that part of the Chattanooga market.”
The $41.7 million purchase price for the 269-unit Riverview Grande values the typical two- and three-bedroom units in the complex at $155,000 each and is nearly 35% above what the former owners, GVA Property Management in Austin, Texas, paid to buy the property just two years ago.
Originally built in 1972 around a century-old, three-story mansion originally erected in 1925, the 12-acre Riverview Grande apartment complex includes a swimming pool, tennis court, conference room, fitness center and laundry facility, among other amenities. The complex is located at the corner of Old Dallas Road and E. Dallas Road in North Chattanooga.