Atlanta-based multifamily real estate, investment, and management company Cortland Partners made its largest complex purchase in Arizona, acquiring the 408-unit Metropointe Apartments in south Tempe for $96.75 million, according to the commercial real estate transaction tracking website Vizzda.com. Institutional Property Advisors (IPA), a division of Marcus & Millichap, brokered the sale. Cortland purchased the property from Rockwood Capital with $55 million in new Freddie Mac debt with Walker & Dunlop.
“Attracted by Phoenix’s business-friendly environment, companies continue to relocate to the MSA to participate in one of the nation’s fastest-growing economies,” said Steve Gebing, IPA executive managing director. “Capital is flowing into the apartment sector, and the East Valley’s concentration of information technology, finance, and healthcare companies make it a particularly strong draw for institutional capital.” Gebing and Cliff David, IPA executive managing director, represented Rockwood Capital and procured the buyer, Cortland.
The complex, which will go by the name Cortland South Mountain after the sale, is located at 7017 S. Priest Dr. in Tempe, just south of Guadalupe. It is comprised of 23 buildings totaling 383,888 square feet. The property was built in 2007 on 19.18 acres and has two pool complexes. It’s unit mix is 228 one bedroom, one bath units; 144 two bedroom, two bath units; and 36 three bedroom, two bath units.
Cortland, which owns over 58,000 units across the U.S. and expanded into the United Kingdom in 2017, has eight communities in the Metropolitan Phoenix market.
The $96.75 million sale price is the second largest multifamily deal in the market in 2020, following the $98.5 million purchase of Arcadia Cove Apartments on Sept. 16 and just ahead of the sale of Liv North Valley Apartments on Sept. 18 for $90 million.