Institutional Property Advisors (IPA), a division of Marcus & Millichap (NYSE:MMI), announced today the sale of Hudson on Farmer, a 171-unit boutique apartment asset in Downtown Tempe, Arizona. The property traded for $96 million, which represents $561,404 per unit.
“Hudson on Farmer is supported by a highly educated population of over 620,700 working professionals throughout 16 major employment corridors within a 10-mile radius,” said Steve Gebing, IPA executive managing director. “Tempe’s outstanding demographics include average and median annual household incomes of $85,200 and $61,500, respectively.” Gebing and IPA executive managing director Cliff David represented the seller, 8th & Farmer Owner LLC and procured the buyer, Ideal Capital Group. “Tempe is one of the best suburbs in Arizona for young professionals and this ambitious demographic has long been a key source of the city’s success,” added David.
Hudson on Farmer’s Mill Avenue District location places it in the geographical center of Greater Phoenix, close to ASU and steps from the city’s only Whole Foods Market. Downtown Tempe has a mix of treelined walkways and large office developments, including 20-acre, 2-million-square-foot Marina Heights, and Hayden’s Ferry Lakeside, a master-planned mixed-use development with 1.6 million square feet of office, retail and residential space. Major employers near Hudson on Farmer include State Farm, ADP, Silicon Valley Bank, and Microsoft. There is 18.5 million square feet of lifestyle amenities in close proximity, namely Tempe Marketplace, Mesa Riverview, and Sloan Park, the spring training home of the Chicago Cubs.
Completed in 2021, six-story Hudson on Farmer has open-concept apartment homes with full-size front-load washers and dryers, walk-in showers, and private balconies. The exclusive sixth floor has distinctive cabinetry with undermount lighting, premium closets, and reserved parking. The property’s common area accommodations include a resort-inspired, heated swimming pool and spa and second-story resident lounge with social space, a conference room, and workspaces accented by modern art and natural wood décor. The landscaped courtyard, with a covered outdoor dining area, barbecue grills, firepit, desert vegetation and misting system gives residents an added venue for entertaining. Additional community amenities include a fitness center, bike parking room and electric vehicle charging stations.
Here are some other recent big deals from Marcus & Millichap:
IPA sells Maryland West for $26.5 million
Institutional Property Advisors (IPA), a division of Marcus & Millichap (NYSE: MMI), announced today the sale of Maryland West, a 100-unit apartment property in Glendale, Arizona. The $26.5 million sales price equates to $265,000 per unit.
“Maryland West’s oversized apartment homes, comprised of 90% two- and three-bedroom units, low-density site plan, and the absence of broad-based renovation history make it an excellent candidate for a value-add strategy supported by the Phoenix metro’s rapid pace of household formation and expanding job economy,” said Cliff David, IPA executive managing director. David and Steve Gebing, IPA executive managing director, represented the seller, CRSC Residential Inc., and procured the buyer, Silver Star Real Estate.
Maryland West was built in 1970 on less than five acres near 43rd Ave. and Glendale Ave. with frontage along McLellan Road. The Interstate 17 Employment Corridor is in close proximity, coupled with additional employment opportunities located throughout nearby Midtown and Downtown Phoenix. The area’s healthcare industry maintains a strong presence near the property with 30,700 medical professionals within a seven-mile radius. Grand Canyon University, as well as shopping and entertainment at the Westgate Entertainment District are a short distance away.
Residents of Maryland West have access to a community laundry facility, basketball court, playground and covered parking. The average apartment size is 807 square feet.
Marcus & Millichap sells apartment building in Youngtown
Marcus & Millichap, a leading commercial real estate brokerage firm specializing in investment sales, financing, research and advisory services, announced today the sale of Youngtown House Apartments, a 64-unit multifamily property located in Youngtown, Arizona. According to Ryan Sarbinoff, regional manager of the firm’s Phoenix office, the asset sold for $10,000,000.
Richard Butler, senior vice president investments in Marcus & Millichap’s Phoenix office, had the exclusive listing to market the property on behalf of the seller, a private investor who purchased the property in 2019 for $4,100,000. This is the fourth time Butler has sold the property since 1998 when he sold it for the original developer who built the property in 1971. “The seller decided to exit the multifamily market due to identifying a higher yielding, alternative product investment opportunity in central Phoenix,” said Butler.
The buyer, represented by Andrew Tate from Keller Williams Commercial Realty, also owns a 71-unit property in Youngtown that was purchased in 2021. “The buyer plans to upgrade this C-grade property to include en-suite washers and dryers, new kitchens, bathrooms, doors, windows, exterior paint, roofs and landscape. They were able to secure a bridge loan for the acquisition and future improvements,” added Butler. All units are studios and one-bedrooms with master-metered utilities and a chiller system. The property will be rebranded as South Edge Apartments.
Marcus & Millichap sells 10-unit apartment building in Phoenix
Marcus & Millichap announced today the sale of Missouri, a 10-unit apartment property located in Phoenix, Arizona. According to Ryan Sarbinoff, regional manager of the firm’s Phoenix office, the asset sold for $2,750,000, equating to $550 per square foot.
“Primely located off of a main thoroughfare in the heart of Uptown Phoenix with direct, walkable access to major retail and a mix of craft eateries and bars, Missouri is poised to benefit from unwavering desirability and rental growth,” stated Paul Bay, first vice president investments in Marcus & Millichap’s Phoenix office. Bay had the exclusive listing to market the property on behalf of the seller, a private investor. The buyer, another private investor, was also procured by Bay.
Missouri is located at 825 East Missouri Avenue in Phoenix, Arizona. All major systems in the apartment community including sewer lines, HVACs, electrical, roofs and more have been replaced.