Ownership of the 296-unit Lakeside apartment complex at 9550 Meyer Forest Drive in west Houston has changed hands, with Knightvest Capital selling the mid-rise property to Pegasus Real Estate. The community, roughly 92% leased and situated on nearly eight acres just inside the I-610 loop, gives Pegasus a significant presence on the city’s west side. Newmark handled both the sale and acquisition financing, reflecting continued activity in Houston’s multifamily market.
Deal and financing
According to Newmark, its Multifamily Capital Markets team brokered the transaction, with Vice Chairman David Mitchell representing Knightvest on the sale and Vice Chairman Colin Cross arranging the debt for Pegasus. In a company release, Mitchell framed the trade as a bellwether for the broader market, saying the deal “This transaction reflects the strong and sustained investor appetite for high-quality multifamily assets in Houston.” The announcement notes recent upgrades at Lakeside and lists the brokers involved in the deal, showing continued institutional interest in stabilized Sun Belt properties despite higher borrowing costs.
The acquisition was funded with a $31 million commercial mortgage-backed securities loan from Citibank that runs through 2030, as per Multi-Housing News, which cites Yardi Matrix for the debt details. That existing CMBS financing gives Pegasus fixed-rate leverage while it works through its business plan for the property. The same coverage notes that Lakeside last changed hands in November 2016 as part of a four-property portfolio sale recorded by Yardi Matrix.
Property particulars
Lakeside is made up of 11 buildings that rise three and four stories, with a mix of one-, two- and three-bedroom layouts ranging from about 678 to 2,465 square feet. Many apartments offer private patios or balconies, and the community has been recently updated.
Amenities include a fitness center, clubhouse, swimming pool, spa and a dog park, along with nearly 720 parking spaces spread across the site. Built in 2001, the complex sits within reach of the Texas Medical Center and the Galleria and Uptown employment hubs, a location that Newmark points to as a long-term demand driver. The brokerage adds that recent renovations, combined with what it calls a remaining “value-add opportunity,” give Pegasus room to push operations further, whether through targeted upgrades, revenue tweaks or both, as detailed by Newmark release.
Where this fits in Houston's busy year
This trade drops into an already active year for apartment deals across Houston. Year to date through November, the metro clocked roughly 158 multifamily assets and about 42,419 units changing hands for an estimated total of $2.7 billion, as cited by Multi-Housing News. That tally marks an increase from the same stretch in 2024 and helped push Houston into the top ten U.S. markets by multifamily transaction volume in the first half of 2025.
Institutional purchases of other mid- and large-scale communities this year have reinforced the trend, signaling that big capital is still comfortable backing stabilized properties across the Sun Belt, Houston very much included.
Knightvest, for its part, comes into the deal with some national heft. The firm was named to the NMHC Top 50 lists for both apartment owners and managers earlier this year, a recognition noted in a company profile from PR Newswire. That kind of scale helps explain why buyers are still lining up for the company’s stabilized Houston holdings, even as capital markets keep shifting underfoot.
For the people actually living at Lakeside, the handoff is expected to feel more like a baton pass than a hard reset. Given the property’s recent upgrades and high occupancy, residents are likely to see continued amenity maintenance and phased improvements instead of sudden changes to day-to-day operations.
