ABI Multifamily has sold Cabrillo Pointe, a 65 unit apartment that is located in Mesa, Arizona for $3,300,000.

Cabrillo Pointe is a single-story community, built in 1960 and comprised of one and two bedroom apartment homes with an average size of approximately 836SF. The property features stone accents, built-up roofs and a well maintained interior courtyard area. The property is individually metered for electricity and has individual hot water heaters.

Located in the heart of Mesa’s Healthcare and Bioscience Districts, Cabrillo Pointe is adjacent to Banner University’s Mesa Corporate Center which features a state-of-the-art simulation education training center. With its recent merger with University of Arizona Medical Centers, Banner is expanding its employment base in the area which should see an additional 600+ jobs become available at its Mesa Corporate Center. Other nearby medical and medical related companies include: Promise Hospital’s 48-bed long-term acute care facility, as well as, Auer Precision’s bio-medical and medical device manufacturing plant. Additionally, residents enjoy the property’s close proximity to downtown Mesa, ASU’s Main Tempe Campus, Mesa Riverview, Tempe Marketplace and significant transportation corridors such as, Beeline Highway, Loop 202 and Metro Light Rail extension.

The California-based Seller, Corzona Properties LLC, had owned Cabrillo Pointe Apartments since 2001. Throughout their ownership, the Seller concentrated heavily on maintaining a high level of occupancy. They successfully rode out the downturn and the disposition comes at a time in which the submarket has begun to blossom; in the previous year alone, the North Mesa submarket has seen a 6.8% increase in rents.

The Phoenix based Buyer, HUB Realty, LLC, intends to capitalize on the strong foundation the Seller built. HUB was attracted to the property’s upside in rents and the possibility of implementing RUBS. The North Mesa submarket has average market rents of $664 and $754 for a one bed and two-bed/one bath unit type, respectively; whereas Cabrillo Pointe has market rents of $595 and $725. The Buyer closed the transaction with conventional bank financing at 70% LTV.

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