Tag Archives: multifamily sale

Waterford Hi-Res Image, ABI Multifamily, WEB

Waterford on Tatum Apartments sells for $14M

ABI Multifamily announced on Friday the sale of a premier North Paradise Valley, 128-unit, multifamily property – Waterford on Tatum Apartments – for $14,175,000 or $110,742 per unit.

This completes an exciting past week at ABI, with three significant closings (Southern Ridge Apartments and Scottsdale Haciendas Condominiums & Townhomes being the other two). Total transaction volume for the three closings was $29,935,000, with 320 total units and a price per unit of approximately $93,550.

The selling entity purchased Waterford on Tatum Apartments, formally known as Tatum Gardens Apartments, in 2012 from AIMCO and completely repositioned the property through capital renovations.  Waterford on Tatum Apartments was originally built in 1985 and was renovated by the seller in 2013. The bulk of the renovation dollars were spent on the common areas.  A small percentage of the interiors were also renovated to prove out rental increases, so plausible buyer assumptions could be made for renovating the balance of the interiors.  ABI Multifamily is pleased to have been part of this sale, as it appears  to be one of the first Phoenix multifamily properties, post the downturn, to transact with a favorable in-place agency loan,” stated Rue Bax, Senior Managing Partner at ABI and one of the lead brokers for this transaction.

ABI Multifamily played an integral part in bringing the deal to fruition in connecting the buyer and seller.  The property is ideally located in the North Paradise Valley Multifamily Submarket, with easy access to Scottsdale and just a couple minutes drive to the well renowned Scottsdale Quarter, Paradise Valley regional mall and Kierland shopping area, as well as, being only four miles away from the Desert Ridge Marketplace.

We (ABI) were really impressed with the quality of construction and renovations at Waterford on Tatum Apartments and the Buyer recognized all the hard work that the selling entity completed to get this property into immaculate condition.  The Buyer plans to complete further renovations to the balance of the non-renovated interiors.  Waterford on Tatum Apartments was a unique opportunity to purchase a low density, majority two bedroom / two bathroom apartment community, with over 1,000 SF unit averages and washer/dryer in each apartment home.  The additional icing on the cake was that it also had a great low interest rate agency loan that the buyer assumed,” says Alon Shnitzer, Senior Managing Partners at ABI and one of the lead brokers for this transaction.

Waterford on Tatum Apartment community is located at 15425 North Tatum Boulevard in Phoenix, Arizona. The property is in the heart of one of the most desirable areas in the entire valley with great access to the I-51 and Loop-101 freeways.  Some of the major employers in the immediate area include GoDaddy, JDA Software Group, Veri Fone, Inc., Discount Tire, First National Financial Services, Choice Hotels, Skill Soft and St. Jude Medical Center.  The location provides for easy access to major job centers via the surrounding freeways, while also allowing for quick access to many options in all directions for shopping, entertainment, and fine dining.

Waterford on Tatum Apartments was originally constructed 1985 out of wood frame and stucco.  The property sits on nearly 6 acres of land, with 8 total buildings and a dedicated leasing center that was recently remodeled.  All common areas were completely renovated in 2013 and a portion of the interiors were as well.  Waterford is a solid and highly sought after “B” class community, with majority two bedroom / two bathroom floor plans.  The property is one of the most well located communities in the Phoenix market.

The buyer, a private partnership based in Calabasas, Calif., is an experienced multifamily investor with hundreds of units in the Phoenix market.

The seller, Stoneleigh Companies, based in Barrington, Ill., with a local office in Scottsdale, is an experienced multifamily developer and institutional caliber investor. Stoneleigh currently operates approximately 4,000 units nationwide and is under construction on six other new multifamily communities in the US.

The Phoenix-based ABI Multifamily brokerage team of Alon Shnitzer, Rue Bax, John Kobierowski, Doug Lazovick and Eddie Chang represented both buyer and seller in the transaction.

Tanque Verde, WEB

Tanque Verde apartments in Tucson sell for $21.3M

CBRE has completed the sale of the Tanque Verde apartment complex, 428-unit multifamily community located at 7671 E. Tanque Verde Road in Tucson, Ariz. The multifamily asset sold for $21.3 million. The property was 94 percent leased at time of sale.

Michael Sandahl and Wyatt Campbell with CBRE’s Tucson office, along with Tyler Anderson, Sean Cunningham, Asher Gunter and Matt Pesch with CBRE’s Phoenix office, represented the seller, Holualoa Companies of Tucson. The buyer was North Salt Lake, Utah-based Chartwell Capital Partners, LLC.

Tanque Verde has recently undergone significant capital improvements worth more than $5 million, including a complete re-roofing, master heating and cooling system replacements, and solar systems and water conversation measures designed to make the property as energy efficient as possible,” said CBRE’s Sandahl. “What’s more, a portion of the units have been upgraded with premium finishes. The property offers an exceptional value-add opportunity to increase revenue by continuing the existing and proven interior upgrade program.”

The Tanque Verde apartment complex was developed in two phases, in 1979 and 1981. Thirty-eight units have been upgraded with new appliances, new cabinets, resurfaced countertops, upgraded fixtures, flooring, mirrored closet doors, microwave oven/hoods, and other improvements. Situated in northeast Tucson, the community benefits from the surrounding strong employment base, class A developments and premier housing options offering residents first-class amenities in a highly desirable location.

Tanque Verde also enjoys proximity to numerous amenities, including grocery, banks, restaurants, and other retail services. Morris K. Udall Park, one of the largest and most popular municipal parks in Tucson, is located across the road from Tanque Verde Apartments, and bike trails and abundant recreation are nearby, including Sabino Canyon and the Mt. Lemmon Recreation Area.

The Villas at Roger Road, Courtesy of Colliers International

Tucson multifamily complex sells for $5.68M

Colliers International in Greater Phoenix recently completed the sale of Villas at Roger Road, a 232-unit Class B apartment building in Tucson, for $5.68 million, or $24,504 per unit.

Equilibrium Villas, LLC, of Washington, D.C., purchased the complex, located at 3985 N. Stone Ave., from Blue Valley Apartments, Inc. of West Palm Beach, Fla.

Bill Hahn, Jeffrey Sherman and Trevor Koskovich, Senior Vice Presidents of Colliers HSK Multifamily, served as the brokers for the buyer and the seller. Colliers HSK Multifamily uses the extensive resources of Colliers International to assist in the placement of debt, investment sales and appraisal services. By ensuring strong and efficient systems are in place for the marketing, acquisition and disposition of properties and providing superior service, Colliers HSK Multifamily has achieved the highest market share of sales of B and C-quality multifamily assets in Arizona.

“Villas at Roger Road presented an excellent opportunity to acquire an investment asset that could quickly appreciate through property repairs and the continued stabilization of income,” Sherman said.

The unit mix includes 88 one-bedroom and 144 two-bedroom/one-bathroom apartments, ranging from 500 square feet to 750 square feet. The building was constructed in 1984.

Crestone 2, CBRE, WEB

Shadow Mountain apartments sell for $27.2M

CBRE’s Capital Markets group announced today that it has secured financing on behalf of Real Estate Capital Partners (“RECP”) for the financing of Crestone at Shadow Mountain Apartments (“Crestone”). Brian Eisendrath with CBRE’s Debt and Structured Finance team arranged a 5-year, full term interest only fixed rate loan of $16,811,000 (60% LTC), which was locked in at an interest rate of 3.30% through Freddie Mac. The 248-unit asset was acquired for $27.2> ($109,677/unit) from Scottsdale-based P.B. Bell, who will remain in-place as the property’s management company, and was represented by Tyler Anderson and Sean Cunningham with CBRE in Phoenix.

RECP’s Current Income Fund (the “Fund”) provided the equity for Crestone, which will provide investors a strong current rate of return in a high quality, well located project. RECP is a U.S. real estate investment advisor, founded in 1989, whose goal is to create superior risk adjusted returns by investing in U.S. real estate. Investments have consisted of existing and to-be-built apartment, office, industrial, retail and mixed-use properties.

With the low cost of capital and the full term interest only loan, this execution will allow RECP to execute its business plan,” said Mr. Eisendrath.

Brian and his team were able to secure attractive financing at a 3.30% rate with full term interest only. The execution supports our business plan to maximize cash on cash returns,” said Stephen Henry, Vice President – Investment Management of REC.

Crestone at Shadow Mountain is a well-established community situated in the heart of North Phoenix. This community was built in 1992 and features 248 units, averaging 876 square feet, in 19 two-story buildings. The Property offers proximity to the SR 51 connecting residents to the Loop 101 through North Scottsdale as well as to all the amenities in Downtown Phoenix. Select units offer nine-foot ceilings, full size washers and dryers, and wood burning fireplaces.

Alta Park West, WEB

IPA Arranges the Sale of Alta Park West for $30.05M

Institutional Property Advisors (IPA), a multifamily brokerage division of Marcus & Millichap serving the needs of institutional and major private investors, has arranged the sale of Alta Park West, a 260-unit, 252,643 SF luxury apartment community in Peoria, Ariz., a major suburb of Phoenix. The $30.05M sales price equates to $115,500 per unit.

IPA senior director Steve Gebing and Marcus & Millichap vice president investments Cliff David advised the seller, a venture formed by Wood Partners, one of the nation’s largest multifamily developers, and Boston Capital Real Estate Partners of Boston, Mass. The buyer is Greenwood Village, Colo.-based Baron Properties.

“Developed by award-winning Wood Partners in 2008, Alta Park West delivers a luxurious living experience that reflects the aesthetic and social fabric of its community,” says Gebing. “The property has a unique location within Park West, a 250KSF open-air lifestyle center that provides residents with unparalleled live, work and play access.”

Situated at 9680 West Northern Ave. in Peoria, Alta Park West is located at the northwestern corner of Loop 101 and Northern Avenue with approximately 1,200 linear feet of drive-by visibility from an estimated 108,000 daily freeway commuters. The location provides immediate access to Westgate Entertainment District, a landmark destination encompassing approximately 8 million square feet of shopping, dining, and entertainment. The property is near a number of prominent employers, including a heavy concentration within the healthcare sector such as Banner Estrella Medical Center, Banner Thunderbird Medical Center, Arrowhead Hospital and the currently under development St. Joseph’s Westgate Medical Center, a 35-acre medical campus. Other notable employers include Luke Air Force Base and Honeywell International Inc.

Each Alta Park West apartment home features nine-foot ceilings, a fully equipped designer kitchen, full-size washers and dryers, walk-in closets, raised-panel doors, ample storage space and linen closets. Select apartment interiors have ceiling fans, kitchen islands, built-in computer niches, loft-style bedrooms and a private patio or balcony.

Community amenities include a resort-style heated swimming pool with spa, a state-of-the-art leasing office, a 24-hour fitness center, a clubhouse with resident lounge and Wi-Fi capabilities, a coffee bar, a fully appointed business center, a courtyard space with a playground and barbecue grills, controlled access gated entry with secured building access and 37 detached garages with automatic door openers.