After a summer lull, the Phoenix multifamily industry is once again going strong. ABI Multifamily, the leading multifamily brokerage and advisory services firm in the Western U.S., has seen a surge in activity, closing 12 deals during the month of October.
“Phoenix multifamily is showing continued momentum,” says ABI Senior Managing Partner, John Kobierowski. “There was a quiet period over the summer, but once again Phoenix apartment buildings are in demand and deals are popping. We’re seeing more high-skilled workers relocating to Arizona, leaving cities like San Francisco, Los Angeles, and Seattle, and there’s a big need for more rental housing, making multifamily properties a smart investment. Phoenix is also doing much better with rent collection than many other cities around the country.”
Among ABI Multifamily’s October sales were the following properties:
• The Palms on Monte Vista, a 44-unit property in Phoenix, sold for $6.2 million. Both Buyer and seller were represented by ABI Multifamily’s Dallin Hammond, Mitchell Drake, Carson Griesemer, John Klocek and Patrick Burch. The transaction involved a California-based buyer and an Arizona-based seller.
• The Harlow Apartments, a 27-unit property in Tempe, sold for $4.98 million. ABI Multifamily’s Alon Shnitzer represented the buyer and ABI Multifamily’s Rue Bax, and Royce Munroe represented the seller. The transaction involved a Washington-based buyer and an Arizona-based seller.
• Bonnie Lynn Apartments, a 34-unit property in Phoenix, sold for $3.75 million. ABI Multifamily’s Mitchell Drake, Dallin Hammond, and Carson Griesemer represented the buyer and seller. The buyer is a California-based private investor. The seller is an Arizona-based private investor.
To meet the demand for rental housing, Phoenix multifamily construction is in full swing. The recently released Q3 2020 ABI Multifamily Construction Pipeline Report showed a total of 56,022 units in the pipeline (includes all units currently under construction and in the planning stages of development). “For comparison, this approximately a 50% increase compared to the same time one year ago,” explains ABI Multifamily Research Manager, Drew Ricciardi.