Single-family rental community Orchards on 12th sells for $19.4M
Northmarq’s Phoenix Investment Sales team of Trevor Koskovich, Jesse Hudson, Bill Hahn, and Ryan Boyle brokered the $19,433,137 (±$511,398/per unit) Orchards on 12th, a 38-home, new construction single-family rental community located at 1220 E. Baseline Road in Phoenix. Northmarq represented the seller, Scottsdale-based TruVista Holdings, LLC . The buyer, CPI/BYN Orchards SFR Owner, LLC, is an entity formed by Los Angeles-based The Carlyle Group and Banyan Residential from Washington D.C.
“TruVista Holdings delivered another exceptional single-family rental community with Orchards on 12th,” according to Koskovich. “It was an unparalleled opportunity for The Carlyle Group and Banyan Residential to expand their portfolio of single-family rental communities in the metro Phoenix market.”
Orchards on 12th is a luxury built, single-family rental community featuring one- and two-story homes with attached two-car garages. The three- and four-bedroom homes range in size from 1,589 to 2,235 square feet. The homes interiors feature 10-foot ceilings, gourmet kitchens with stainless steel appliances and shaker cabinets, in-home washer and dryer and oak composite flooring. Each of the homes has a fenced-in backyard with artificial turf.
Completed in 2022, the 8.65-acre gated community is located in Phoenix’s South Mountain Village neighborhood. Orchards on 12th is centrally located to downtown Phoenix with easy access via Interstate 10 and the Loop 202 South Mountain Freeway extension that was completed in December 2019. With a resident population of more than 131,000, South Mountain Village is home to local and national businesses, retailers and restaurants, as well as the 16,000-acre South Mountain Park and Preserve with more than 50 miles of trails for hiking, horseback riding and mountain biking.
According to Northmarq’s Single-Family Build-to-Rent Properties Special Report (November 2022) the single family build-to-rent market continues to gain momentum with developers forecast to deliver 64,000 homes that are built specifically for renters in 2022. With home mortgage rates doubling since the beginning of this year, transitioning to home ownership is proving more difficult, and renters who would prefer a single-family home over a traditional apartment community have driven the demand for single-family, build-to-rent communities throughout the U.S. This trend has been most pronounced in the South and West regions where populations and businesses are growing at the fastest rates.