The multifamily market continues to be the strongest performing real estate market in Orange County. With the support of strong fundamentals and forecasts, investors are flocking to multifamily investments, especially properties located in core cities. As the for-sale residential market remains uncertain, much of the Orange County population is choosing to lease, which has been a big driver following the economic recession. The vacancy rate stands at 4.5 percent, which accounts for a 20 basis point drop from the previous quarter’s rate of 4.7 percent and a 140 basis point decline from the 5.9 percent recorded one year earlier. This was the third consecutive quarter that witnessed a decline in vacancy. These rates haven’t been this low since the second quarter of 2008. Although vacancy has dropped considerably since it peaked of 6.4 percent during the third quarter of 2009 through the second quarter of 2010, it remains higher than the low point of 3.2 percent, which occurred in the third quarter of 2007. Rental rates have also increased as vacancies have filled. The average effective monthly rent is $1,488, which represents a slight increase from the $1,478 recorded during the previous quarter and an even bigger increase from the …
Western
SAN FRANCISCO – The Marcus & Millichap team of Sanford G. Skeie and John Antonini has recently sold two San Francisco apartment complexes. The first was a 39-unit apartment community located at 970 Geary Street in San Francisco that sold to a partnership for $4,054,653. The team represented both the buyer and the seller, a private investor. The second was a 60-unit complex at 990 Geary Street that sold to a limited liability company for $7,045,347. Once again, the team represented both the buyer and the seller, a private investor.
TOLLESON, ARIZ. — MiTek, a subsidiary of Berkshire Hathaway, has signed a 10-year lease for a 259,200-square-foot, build-to-suit facility at 7890 W. Lincoln Street in Tolleson. The facility will be situated within the Tolleson Corporate Park. It is being constructed by Merit Partners, and is slated for completion in the second quarter of 2012. MiTek will be relocating to the facility from its current operations at 212 S. 37th Ave. in Phoenix. Payson MacWilliam and Don MacWilliam of Colliers’ Phoenix office represented both MiTek and the landlord, FR/CAL 3 Tolleson Buckeye, LLC, in this lease transaction.
SANTA FE SPRINGS, CALIF. — CapRock Partners has purchased two industrial buildings in Santa Fe Springs totaling 33,240 square feet. They are located at 11748 and 11760 Slauson Ave. The former property was built in 1968 and contains 15,240 square feet. The latter property was built in 1971 and features 18,000 square feet. Both buildings are undergoing extensive renovations. Rustin Mork and Mark Repstad of Binswager Realty Advisory Group represented CapRock in these acquisitions. They will also market the properties to owner-users. The seller was a second-generation owner/user that has gone out of business.
DOWNEY, CALIF. – A Walgreens property that is located at 8030 Imperial Highway in Downey has sold to Downey Property Investments, LLC for $8.1 million. The property had previously housed a vacant industrial park and a free-standing outparcel before it was acquired and redeveloped by Heslin Becker Properties. The firm still maintains possession of the outparcel building, which it plans to re-tenant. The acquisition was led by Casey McKeon of Heslin Becker.
MESA, ARIZ. – The 120-unit Sycamore Square Apartments in Mesa has received $4,129,000 in first-mortgage financing. The loan features a 10-year term and a 30-year amortization schedule. The apartment community is owned by RND6, LLC, an entity of Crown Realty & Development, and is located at 1120 S. Sycamore Street. Financing was provided by NorthMarq Capital through its affiliate AmeriSphere Multifamily Finance, LLC, a Fannie Mae DUS Lender. James DuMars and Michael Elmore led the NorthMarq team.DuMars works out of the firm’s Phoenix office, while Elmore is based in Los Angeles.
PANORAMA CITY, CALIF. — An 11,481-square-foot retail building located at 14600 Roscoe Blvd. in Panorama City has sold to Pluto Holdings, LLC, an affiliate of Kidney Center, for $2,575,000. Pluto was represented by Christopher E. Maling, David Maling and Phyllis Palin out of Colliers’ Downtown Los Angeles office, and Shawn Salimian out of the firm’s Encino, Calif., office. The seller, Roscoe Blvd Panorama City, LLC, was represented by Bryan Norcott of Studley Retail.
MISSION HILLS, CALIF. – The 34,310-square-foot Blackhawk building in Mission Hills has sold to Santa Monica West, LLC for $5.65 million. The three-story office building was 97 percent leased at the time of sale. The seller, Blackhawk Office Associates, LLC, was represented by Lynwood Fields and Bob Safai of Madison Partners.
LAS VEGAS – The Concorde Assisted Living Center in Las Vegas has sold to Forterus for $5 million. The 101-unit facility is located at 4625 East Twain Ave. It was built in 1997. Forterus was represented by its company chairman, Michael Cartright The seller, IMH Financial Corporation, was represented by Trisha A. Talbot, Julie A. Johnson and Kathleen M. Morgan of GPE Commercial Advisors, along with Neil Sorkin of Cushman & Wakefield.
BEL AIR, CALIF. – A 24-unit apartment complex located at 11720 Bellagio Road in Bel Air has sold to an unnamed buyer for $4.37 million. The 15,676-square-foot complex was built in 1955. The property was listed and marketed by Richard J. Ringer of Marcus & Millichap’s West Los Angeles office on behalf of the seller, a limited liability company.