AURORA AND DENVER, COLO. — Malman Commercial Real Estate has arranged the off-market sales of two industrial buildings in Aurora and Denver for a total of $21.2 million. Jake Malman of Malman Commercial Real Estate represented the sellers of the buildings, which total 205,966 square feet. The buyers were not represented in the transactions. In one deal, 4999 LTD sold a 50,050-square-foot industrial warehouse at 4999 Oakland St. in Denver to 4999 Oakland Owner LLC, a Delaware limited liability company. In the second transaction, 40th Street Partners LLC sold a 155,916-square-foot distribution building at 18245 E. 40th Ave. in Aurora to 18245 40th Owner LLC.
MESA, ARIZ. — Tempe-based Sun State Builders, on behalf of Greenwood and McKenzie Real Estate Investments, has completed Gateway Quads, a $17 million, 122,780-square-foot industrial center in Mesa. Situated on 10 acres on East Germann Road and South 18th Street, Gateway Quads features four 30,6800-square-foot industrial and retail buildings, which are divisible to 7,600 square feet. The buildings offer 24-foot ceilings and multiple truck loading areas. Winston Architects worked on the project, with construction beginning in August 2023.
GILROY, CALIF. — Gilroy Ventures LLC, a real estate investor, has acquired a commercial building on 13.7 acres in Gilroy, approximately 30 miles southeast of San Jose. Gilroy JRV LLC sold the asset for $13.8 million. Located at 7900 Arroyo Circle, a recreational vehicle business currently uses the 125,597-square-foot property as an indoor/outdoor showroom. The flexible property can also accommodate a variety of commercial uses, such as showroom, retail, warehouse and automotive. Miki Correa of Cushman & Wakefield, along with CBRE’s Rick Shaffer, Marie Anderson and John Shaffer, represented the seller in the transaction.
MAUI, HAWAII — DXD Capital has broken ground on a Class A self-storage facility in Maui. The 45,863-square-foot property will offer 357 individual storage units within the Maui Research & Technology Park in the Kihei area. The facility will feature drive-up, non-climate-controlled units. DXD plans to open the facility in the first quarter of 2025. RYCON will serve as general contractor, and American Savings Bank is the construction lender. Extra Space will manage the facility upon completion. DXD acquired the site in April 2023 through its second fund, DXD Self Storage Fund II, which launched in June 2022. The fund has since invested in seven self-storage developments and one seven-facility portfolio acquisition across the United States.
MURRIETA, CALIF. — Bell Partners, on behalf of its Value Add Fund VII investors, has purchased Silverado Apartment Homes, a multifamily community in Murrieta, approximately midway between Los Angeles and San Diego. Realty Center Management sold the asset for $146.5 million. The property will be renamed Bell Murrieta Springs. Completed in 2007, Bell Murrieta Springs offers 492 one-, two- and three-bedroom floor plans with an average unit size of 948 square feet. Community amenities include a green belt with a walking trail surrounding the entire property, two pools and a clubhouse. The property also features walking access along a nature preserve to Meadowridge Park, a city-owned park. Kevin Green, Gregory Harris and Joseph Grabiec of Institutional Property Advisors, a division of Marcus & Millichap, represented the seller and procured the buyer in the deal. With this acquisition, Bell Partners owns and/or manages 11 multifamily communities in Southern California totaling more than 3,100 apartments.
SEATTLE — A joint venture between Greystar Real Estate Partners and Provident Resources Group Inc. has received $183 million in tax-exempt bond financing and completed the acquisition of two student housing communities on the University of Washington campus in Seattle. The communities, Nordheim Court and Radford Court, will now be owned by Provident under a ground lease agreement with the university. Greystar will now operate the properties. Built in 2003, Nordheim Court offers 454 beds for upper-division students. The community is set to undergo renovations to residential units and common areas beginning this summer. Radford Court, which was developed in 2000, offers 399 beds for students attending the university with families and staff members. Rents at the property are set below market rates, with 127 apartments designated for those earning up to 50 percent of the area median income. The property also includes a childcare center. These acquisitions are Phase I of the University of Washington’s UH4 plan, which seeks to increase housing and improve housing quality for students. The university plans to develop additional on-campus undergraduate housing utilizing proceeds from this transaction to accommodate enrollment growth and alleviate existing demand. The second phase of UH4 will include the redevelopment of …
SEATTLE — GMD Development and WNC & Associates have closed a deal to begin construction on Victory Northgate, a six-story affordable housing developing in north Seattle. Located at 1000 Northeast Northgate Way, Victory Northgate is slated for completion in April 2026. The community will offer 13 studios, 101 one-bedroom units, 17 two-bedroom units and 51 three-bedroom units, as well as 6,800 square feet of commercial space with 77 underground parking stalls. The 182 affordable apartments are targeted for families earning up to 60 percent of the area median income. The first-floor commercial space is tentatively reserved for a daycare facility run by the YMCA of Greater Seattle. Victory Northgate will meet all mandatory criteria required by the Evergreen Sustainable Development Standard, Washington State’s sustainable building framework. Sustainable features will include Energy Star-rated appliances; high-efficiency mechanical systems, windows and insulation; low-flow plumbing components; LED lighting throughout the property; and 90 percent drought-tolerant landscaping. The deal was structured with 4 percent LIHTC equity, a construction and permanent loan through Citi Community Capital and a $25.5 million soft loan from the City of Seattle. AOF/Pacific Affordable Housing Corp. is participating as the nonprofit co-general partner.
PALM DESERT, CALIF. — CBRE has arranged the sale of Ariana at El Paseo, an apartment building in the Coachella Valley city of Palm Desert. Investment Concepts acquired the asset from 45278 Deep Canyon Road for $14 million, or $222,222 per unit. Eric Chen, Kevin Sin, Blake Torgerson, Dean Zander and Stew Weston of CBRE represented the seller in the deal. Located at 45278 Deep Canyon Road, the 63-unit property features a mix of studio, one- and two-bedroom floor plans, averaging 865 square feet. Each unit offers a fully equipped kitchen, vinyl plank flooring, oversized patios and balconies, central air and heating, and large closets. Community amenities include a resort-style pool, onsite laundry facilities, an outdoor lounge and fireplace, a pet play area and barbecue stations.
DENVER — Evans Senior Investments (ESI) has arranged the sale of the Novellus Cherry Creek, an assisted living community in Denver. ESI represented Novellus Living in the transaction. Peaks Healthcare purchased the asset for an undisclosed price. Originally built in 2002, Novellus Cherry Creek comprises 66 assisted living units. The community faced occupancy challenges, with only 36 percent of its units occupied at the time of marketing. In alignment with its broader portfolio strategy, Novellus Living opted to divest its Colorado asset, focusing efforts on its thriving California and Arizona portfolios.
— By Anthony Pappageorge, Managing Director, NorthMarq — The Bay Area multifamily market is showing signs of stabilizing, although there are some persistent challenges present in the market that will impact operations. With 2024 likely to be a period of slower economic growth, there will be a continued emphasis on multifamily property operations. The challenges in the Bay Area rental market have shifted somewhat in recent years. In the period immediately following the pandemic, owners of rental properties were focused on maintaining occupancy levels and rent collections. In the current environment, added pressures surrounding rising property insurance costs and the prospect for additional rent control measures are increasing uncertainty to the Bay Area multifamily market. Occupancy: A Bit Lower than Usual, but Bouncing Back One multifamily property metric where the Bay Area routinely outperforms nearly every other part of the country is occupancy levels. Conditions remain tight at the beginning of 2024, with average occupancies ranging from about 96 percent in the South Bay and San Francisco, to about 94.5 percent in the East Bay. Current occupancies are about 50 basis points lower, on average, than in 2019. This is welcome news to operators who saw rates decline to about 90 …