— By Anthony Johnson and A.J. Johnson of Pegasus Retail — Looking back on the market sentiment at the start of 2024, the mantra was “Survive ‘til 25.” Now, halfway through 2025, it’s clear that the record-breaking cap rate sales of 2021 and 2022 are firmly in the rearview. Speculative development is reserved for those with a generational outlook, and high interest rates are the new normal. While that may seem bleak, for those who’ve weathered the storm, it feels like a breath of fresh air. The market has reset. Seller and buyer expectations are realigning. Landlords and tenants are exploring new deals in a more stable environment. And smart developers are dusting off models and cautiously getting back to work. The construction hiatus of recent years has benefited owners of existing product. Tenants, fueled by Wall Street growth expectations, had to get creative. We now see many national retailers occupying second and third generation retail space that they’d historically passed in favor of shinier and newer projects. Many neighborhood centers that were 50 percent vacant at the onset of the pandemic are now close to fully leased. A surprising but welcome shift. This outcome, partly driven by the lack …
NORTH LAS VEGAS, NEV., AND TEMPE, ARIZ. — In two separate transactions, a real estate fund managed by Kennedy Wilson has purchased Tides on Commerce in North Las Vegas and Finisterra in Tempe for a total of $166 million, excluding closing costs. The fund invested a total of $61 million of equity in these transactions. The names of the sellers were not released. Tides on Commerce offers 336 apartments and Finisterra features 356 units. The low-density, garden-style properties offer a diverse mix of unit sizes and a variety of amenities. Kennedy Wilson has approximately 14 percent interest in a commingled fund that acquired the two properties and serves as asset manager. The two acquisitions contribute to Kennedy Wilson’s growing multifamily portfolio with ownership interest in nearly 40,000 units.
SAN MATEO, CALIF. — IPA Capital Markets, a division of Marcus & Millichap, has secured $61 million in financing for the construction of Arbello, a mixed-use multifamily and office property in San Mateo. Located at 477 9th Ave., the five-story property will feature 120 for-rent apartments and 29,000 square feet of office space. Onsite amenities will include a coworking space, wellness center, clubhouse, expansive courtyard and rooftop deck. Brandon Roth of IPA advised and marketed the financing on behalf of The Martin Group and JPF Capital.
LOS ANGELES — CGI+, a Los Angeles-based multifamily investment firm, has completed the disposition of a shovel-ready, 4.9-acre development site in Torrance to JPI for $40 million. The property is entitled for a six-story, 525-unit residential building, with 34 units reserved for residents earning less than 30 percent of the area median income. Designed by AC Martin, the planned development will offer floor plans ranging from studio to three-bedroom apartments. Residences will be connected by a series of walking paths leading to four distinct and separate micro-environments offering amenities including outdoor workspaces, barbecue and dining areas, a spa, children’s playground, pet park and fire pits. A 28,000-square-foot aerial central park on top of the project’s eight-story garage will offer 360-degree views from the Pacific Ocean to downtown Los Angeles. The rooftop park will feature a resort-style pool, coffee shop, clubhouse, indoor/outdoor gym, pickleball court and outdoor lounge spaces. Chris Gomez-Ortigoza and Tim Barden of Land Advisors Organization marketed the fully entitled development site on behalf of CGI+.
PARKER, COLO. — On behalf of the company’s Bell Value Add Fund VIII, Bell Partners has acquired Montane Apartments, a 400-unit multifamily property in Parker, for an undisclosed price. The community will be renamed Bell Parker Ranch. Completed in 2018, the garden-style community features studio, one-, two- and three-bedroom floor plans, a lazy river, an oversized clubhouse and well-programmed green spaces. Jordan Robbins of JLL Capital Markets brokered the deal. With this acquisition, Bell Partners now owns or manages a portfolio of approximately 7,400 apartments in 21 communities across the Denver region.
DOUGLAS, WYO. — Senior Living Investment Brokerage (SLIB) has brokered the sale of Douglas Care Center and Mountain Lodge, a senior living and skilled nursing facility located in Douglas. The facility totals 74 units with 96 beds across two adjacent properties, with assisted living, memory care and skilled nursing offerings. Originally built in 1968, Douglas Care Center was renovated in 2010. Mountain Lodge was developed in 2018. Vince Viverito and Jason Punzel of SLIB arranged the transaction.
PARK CITY, UTAH — Extell Development Co., a national real estate development firm based in New York City, has secured a $600 million construction loan for Four Seasons Resort and Residences Deer Valley, a new hospitality and condominium development currently underway in Park City, Utah’s premier ski town. New York-based JVP Management provided the financing. Extell broke ground on the development earlier this spring and plans to deliver the property in 2028. Designed by ODA Architecture, Four Seasons Resort and Residences Deer Valley will feature one- to seven-bedroom hotel suites ranging in size from 1,200 to 7,000 square feet, all with direct ski-in/ski-out access. Amenities at the property will include wellness and fitness facilities with saunas, steam rooms, whirlpools and spa services, as well as four dining venues and a ski-in/ski-out lounge with an outdoor terrace and fireplace. Additional amenities will include access to 50 miles of hiking and biking trails, an ice rink, indoor sports court and indoor and outdoor pools with panoramic views and private cabanas. The property will also feature a grand ballroom, three meeting rooms and an outdoor event terrace. Upon completion, the development will include a building with 68 private one- to five-bedroom residences as …
GILBERT, ARIZ. — Cavan Cos. has sold The Bungalows at San Tan Village, a 159-unit build-to-rent (BTR) community in Gilbert to AEW Capital Management. The sales price was $66 million. Cavan Cos. began construction of the property in 2021 and completed it in 2024. The Bungalows at San Tan Village was 97 percent occupied at the time of closing. The community offers a mix of one-, two- and three-bedroom single-story homes, each featuring private backyards and smart home systems. Amenities include a resort-style lap pool and a hot tub, a fitness studio, dog park, walking trail, playground and a resident clubhouse. The Bungalows is Cavan’s branded BTR product. The company has developed communities in Arizona and Nebraska under this name.
SURPRISE, ARIZ. — An affiliate of Cohen Asset Management has purchased Desert Cove Industrial Center, a Class A industrial property in Surprise, from Evergreen Development for $36.3 million. Delivered in June 2024 by the seller, the freestanding single-tenant building is fully leased to BP Lubricants USA Inc., doing business as Castrol Oil. Situated on 9.4 acres at 11301 N. Litchfield Road, Desert Cove Industrial Center offers 168,000 square feet, multiple access points, functional column spacing, ample parking for trailer and auto and substantial power supply. Will Strong, Molly Hunt, Michael Matchett, Jack Stamets and Madeline Warren of Cushman & Wakefield’s National Industrial Advisory Group – Mountain West represented the seller in the deal. Brian Share and Garrett Stasand of Cushman & Wakefield Equity, Debt & Structured Finance team advised on the acquisition financing. John Werstler, Cooper Fratt and Tanner Ferrandi of CBRE provided market leasing advisory services.
KALISPELL, MONT. — Brinkman Real Estate has acquired The Meridian Apartments, a Class A multifamily property in Kalispell. Terms of the transaction were not disclosed. The company’s capital markets team, in partnership with Greystone’s debt team led by Tim Wright, executed a Fannie Mae loan assumption and simultaneously closed on a supplemental loan. Built in 2023, The Meridian offers 180 studio, one- and two-bedroom apartments with quartz countertops, stainless steel appliances and vinyl plank flooring and keyless entry. Community amenities include a basketball court, an outdoor grill and picnic area, a dog park and onsite leasing and maintenance. Brinkman plans to implement an improvement program including the addition of in-unit laundry facilities, fencing for first-floor studios and upgrades to the dog park and shared outdoor areas. Entrust Property Solutions will provide operational management services for the property.