Western Wealth Capital Acquires Tennessee Apartment Portfolio
The firm partnered with FSO Capital Partners to purchase 192 units across two separate communities.
Updated on Oct. 26, 2026 in Real Estate — General
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Western Wealth Capital and FSO Capital Partners have acquired a 192-unit multifamily portfolio in Tennessee for $20,725,000. The transaction includes River City North in Chattanooga and Meadow Creek in Goodlettsville.
Why it matters
The acquisition reflects a strategic effort by the partners to expand into assets beyond conventional value-add properties while capitalizing on strong rental demand in the Nashville and Chattanooga markets.
The 192-unit portfolio includes the 108-unit River City North and 84-unit Meadow Creek properties. Financing for the deal involves an $8.47 million loan for River City North and the assumption of a $7.79 million mortgage for Meadow Creek.
The players
Western Wealth Capital
This is a real estate investment firm that specializes in the acquisition and improvement of multifamily apartment properties.
FSO Capital Partners
This investment firm partnered with Western Wealth Capital to execute the purchase of the Tennessee portfolio.
The details
River City North was built in 2007, while Meadow Creek dates back to 2003. Both apartment communities currently operate under Section 42 LIHTC Land Use Restriction Agreements.
Timeline
Construction of Meadow Creek was completed in 2003.
River City North was built in 2007.
The acquisition of the two properties officially closed in October 2026.
Culture Shift
The acquisition of properties under Section 42 LIHTC Land Use Restriction Agreements signals a move by private investors toward assets with long-term affordability constraints. This approach contrasts with traditional value-add strategies by focusing on the specific regulatory framework of existing housing stock.
Residents living in River City North or Meadow Creek may see changes to property management policies or administrative procedures following the ownership transfer. The long-term affordability status of these units remains protected by existing land use restrictions.
The takeaway
This transaction underscores a growing institutional interest in secondary Tennessee markets like Chattanooga and Goodlettsville. Investors are increasingly looking to balance portfolio growth with assets that have established regulatory compliance and steady demand.
Further reading
Learn more about the local market environment at Tennessee Real Estate — General.
Source note: This article includes information reported by Chattanoogan.
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