CBRE has negotiated the $30.75 million sale of the 352-unit Glendale, Arizona apartment community Solano Vista. 

Brian Smuckler, Jeff Seaman, Derek Smigiel and Bryson Fricke of CBRE in Phoenix represented the seller, Phoenix-based 3rd Ave Investments, and the buyer, Sundance Bay, LLC, of Salt Lake City in the transaction. 

Located at 7102 N. 43rd Ave., Solano Vista is in the high-demand and supply-constrained Glendale submarket where multifamily rental rates have increased more than 9 percent and vacancy has decreased by 97 basis points year-over-year, according to CBRE Research. 

“The property will continue to perform well given its superior amenities and desirable location in an extremely supply-constrained submarket,” said CBRE’s Smucker. “Additionally, there is significant upside potential to increase rental revenue through interior upgrades.” 

“When 3rd Ave Investments acquired Solano Vista in January 2018, it was an underperforming asset in need of substantial improvements,” said Zev Hendeles, principal of 3rd Ave Investments. “We were able to revitalize and reposition the asset with professional management and upgraded amenity areas. 3rd Ave Investments is proud to hand over the property to the buyer so they can continue building value for the tenants.”  

This is 3rd Ave Investments’ twelfth round-trip deal over the last four years. This transaction represented a 70% internal rate of return and 2.35x multiple to the investors. 

The property offers excellent frontage on 43rd Avenue and proximity to Downtown Glendale and several school systems, including Grand Canyon University, Glendale Community College and Arizona State University West Campus. It also benefits from access to major transportation corridors, including the U.S. 60 and Interstate 17. 

The recently re-branded Solano Vista has undergone extensive exterior renovations and features a myriad of amenities, including a fitness center, clubhouse, dog park playground, four swimming pools, multiple laundry facilities, barbeques, covered parking and secured gate access. The property features a majority studio and one-bedroom floor plans and is partially master-metered for electricity. 

Phoenix ranked fifth in the U.S. for multifamily acquisitions this year through July with $4.7 billion, up 37.6 percent from the same period last year, according to CBRE Research.