PORTLAND, ORE. — Institutional Property Advisors (IPA), a division of Marcus & Millichap, has arranged $27.7 million in refinancing for a multifamily property in The five-story property features 110 apartments. Anita Paryani of IPA arranged the financing for the undisclosed borrower.
KENT, WASH. — Marcus & Millichap has arranged the sale of Riviera I & II, a multifamily community located at 10718 SR 238th St. in Kent. A limited liability company sold the asset to a limited liability company for $5.2 million. Riviera I & II consists of three residential buildings offering a total of 26 apartments. The property features one 14-unit building, which was built in 1978, and two six-unit buildings that were built in 1968. The property offers a mix of one-bedroom/one-bath, two-bedroom/one-bath and two-bedroom/one-and-a-half baths. Kellan Moll and Scott Morasch of Marcus & Millichap’s Seattle office represented the seller and the buyer in the deal.
By Steve Nosrat, Principal, Avison Young As we prepare to close out 2021, Las Vegas continues to thrive, maintaining its place as one of the fastest-growing multifamily markets in the nation. Clark County’s population grew by 2 percent — nearly 40,000 — ranking it among the top 10 metros with at least 750,000 residents. This has further increased the already high demand for multifamily properties. Annual job growth in Las Vegas has outperformed the national average for five straight months, with leisure and hospitality jobs driving most of the recovery. Housing demand and rents are hitting all-time highs all over the Valley. Home values have risen 23 percent annually, and apartment rents are up 22 percent. Vacancy rates are down to just 3.8 percent, compared to the national index of 4.5 percent. This has spurred investors on, causing them to feel more secure with Las Vegas’ long-term outlook. Apartment sales passed $1 billion in the second quarter of 2021, which has only happened twice before in Las Vegas history. The 12-month sales volume has passed $3.1 billion and is trending positively for 2022, according to CoStar. The apartment market gained significant momentum during the third quarter. Cap rates have compressed, and …
SEATTLE — Kennedy Wilson and the real estate business within Goldman Sachs Asset Management have purchased Coppins Well, a high-rise multifamily property in Seattle, for $106.5 million, excluding closing costs. Kennedy Wilson has a 30 percent ownership interest in the property, which the partnership acquired with a total equity investment of $44 million and a $66 million loan. The ownership team plans to roll out a value-add asset management plan, which includes investing $4 million to renovate unit interiors, refresh common areas and enhance amenities. Completed in 2012, the 17-story building features 236 apartments in a mix of studio, one- and two-bedroom layouts, a movie lounge, fitness center and dog runs. Ground-floor retail tenants include a coffee house, restaurant and bank.
SCOTTSDALE, ARIZ. — Sterling Real Estate Partners has purchased Suites on Scottsdale, a hotel property in Scottsdale, for an undisclosed price in an off-market transaction. The company plans to convert the 114-key extended-stay hotel, which was built in 1996, into an 85-unit apartment community. The conversion will consist of modifying the existing structure to conform to Scottsdale’s building codes, including new balconies for every unit, enhanced curb appeal and select rooms combined to improve unit mix. New resident amenities will include a large conference room with workspace-style offices; indoor/outdoor fitness center; yoga studio; movie theater; dog park with pet washing station; resort-style pool; automated package locker delivery system; and smart access system.
CHANDLER, ARIZ. — Lincoln Property Co. has purchased two buildings at AZ 202 Commerce Park in Chandler for $32.5 million. Will Strong, Mike Haenel, Andy Markham, Phil Haenel and Greer Oliver of Cushman & Wakefield represented the seller, ViaWest, in the deal. Located at 1600 S. Hamilton St. on 7.7 acres, the project features 140,372 square feet of fully leased industrial space — a 65,892-square-foot Building A and a 74,480-square-foot Building B. The buildings include 28-foot clear heights, 60-foot speed bays, gated and secured concrete truck courts and 38 rear-load doors offering dock-high and grade-level loading. Additional amenities include an ESFR sprinkler system, LED lighting, 2,000 amps of power per building and generous car and trailer parking. The project is adjacent to AZ 202 Commerce Park Phase I, a 106,000-square-foot, built-to-suit industrial project completed in 2018 that PODS Moving and Storage fully occupies. ViaWest Group developed all three buildings, delivering Building A and Building B in 2020.
LAS VEGAS — DG Design + Development, a Las Vegas-based hotel developer, has obtained a $44.8 million bridge loan to refinance the recently opened, dual-flagged Hampton Inn and Home2 Suites by Hilton – Las Vegas Convention Center. Dallas-based Hall Structured Finance provided the bridge loan for the borrower. The six-story, 250-room hotel offers both a select-service and extended-stay option, as well as a fitness center; business center; 1,000 square feet of meeting and event space; dining facilities; and an outdoor pool and spa. Jay Miller of BayBridge Real Estate Capital brokered the deal.
LAS VEGAS — Orange County, Calif.-based MCA Realty, through its MCA Realty Industrial Growth Fund, has acquired two industrial assets in Las Vegas for a total of $5.6 million. In the first transaction, MCA Realty purchased Windy Road Warehouse, a seven-building industrial project in Las Vegas, for $3.4 million in an off-market transaction. At the time of sale, the 19,901-square-foot campus was fully occupied. The asset includes seven separate parcels. MCA plans to implement capital upgrades to the property, including a new paint scheme, roofs, and upgraded parking lot and landscaping. The asset is located at 6460, 6466, 6472 and 6478 Windy Road. Kevin Higgins and Sean Zaher of CBRE represented the buyer and undisclosed seller in the deal. In the second transaction, MCA Realty acquired 3.6 acres of land at the northeast corner of Sunset Road and Warbonnet Way in Las Vegas. The firm plans to develop two single-tenant, 40,000-square-foot industrial buildings on the parcel. The two buildings will each feature approximately 1,500 square feet designated for office, 28-foot clear heights and ESFR sprinklers. Dan Doherty, Jerry Doty, Chris Lane and Paul Sweetland with Colliers International represented the buyer and undisclosed seller in the deal.
By Matt Pesch, Vice Chairman, CBRE The multifamily market in Phoenix experienced a record-setting year in 2021. Market vacancy dropped below 3 percent for the first time, the region led all U.S. metros in year-over-year rent growth for every quarter and total multifamily investment sales volume topped $12 billion. This was nearly double the volume from 2019 and a 125 percent jump from 2020. These metrics are driven by Phoenix’s primary economic drivers of nation-leading population and job growth. As of October, Phoenix was one of only four U.S. metros to recover 100 percent of the jobs the region lost during the pandemic. This was driven by the stable recovery of long-established industries and growing sectors that are diversifying the region’s employment base. Case in point: Phoenix is home to one of the fastest-growing biotech sectors in the U.S. with the life sciences workforce expanding by 8.5 percent from 2019 to 2020, according to CBRE’s latest research. Likewise, large corporate office users continue to relocate or expand in Phoenix at an unprecedented rate, further driving the region’s robust employment recovery. The area’s strong employment recovery and population growth are the fuel driving Phoenix’s multifamily sector. The gains in the apartment …
TORRANCE, CALIF. — Marcus & Millichap has arranged the sale of Rolling Hills Apartment Homes, a multifamily property at 25935 Rolling Hills Road in Torrance, located in the South Bay region of metro Los Angeles. A private investor sold the complex to another private investor for $49.5 million, or $462,850 per unit. Tyler Leeson, Kevin King, Nick Kazemi and Matthew Kip of Marcus & Millichap and Joseph Grabiec, Kevin Green and Greg Harris of Institutional Property Advisors, a division of Marcus & Millichap, represented the seller and procured the buyer in the transaction. Built in 1970 on two acres, Rolling Hills features 107 apartments with 59 one-bedroom units, 30 two-bedroom units and 18 three-bedroom apartments, with an average unit size of 930 square feet. Community amenities include controlled access, covered parking, a clubhouse, pool and spa.
