Cherokee Hills gets nod for purchase at $3.3M

Highmark Holdings has purchased Cherokee Hills Apartments on Bates Pike.

The company recently received the necessary approvals for tax-exempt bonds to make the $3.3 million purchase.

“The purchase of Cherokee Hills Apartments represents another opportunity for Highmark to upgrade and enhance a multifamily asset. We look forward to providing quality housing for 96 families in Cleveland, and to being a contributing part of the community for years to come,” said Highmark managing director Robert King.

The bonds were approved by the Tennessee Housing Development Agency and issued by Cleveland Health and Educational Facilities Board.

According to a company release, “Berkadia Commercial Mortgage, LLC and Freddie Mac purchased the bonds and serve as the lender.”

The company is planning a number of renovations and improvements to the complex. Plans include “new heating and air conditioners, parking lot repairs, landscaping additions, and various interior upgrades.”

King said they hope to begin the renovations in December.

Highmark Holdings has reported that Enfield Management will take over management of the apartment complex. However, nothing will change for the residents of Cherokee Hills.

“This is going to be a low-income housing tax credit property, which it already is, so all of the residents that are there already qualify,” King said. “So, we will not have to displace anyone as part of the renovations.”

The main staff will also remain the same.

“We are hiring the two people who were working onsite there,” King, who is also a part of Enfield Management, said.

The current maintenance person and onsite manager were recently hired by Enfield.

“That is always my hope when we are buying a property (that we can keep existing staff),” said King.

While this is not always possible, King said keeping the same staff helps maintain continuity for those who live there.

King said the onsite manager and maintenance person were “fantastic and well qualified.”

The company also recently hired a resident programs director to coordinate events and activities. King said discussions have begun with some local nonprofits about partnering in the future to provide information session and programs for residents.

Cherokee Hills Apartments was developed 16 years ago. When it was made available for sale, Highmark became interested in it because it has similar apartment complexes in other areas.

King said it fit well with the rest of the company’s portfolio.

Highmark also recently purchased Ridge Top Apartments in Athens.,22529?