LOS ANGELES—Canyon Capital Realty Advisors‘ Canyon Catalyst Fund and Sack Properties have acquired two multifamily properties totaling 221 units in emerging Los Angeles submarkets. The purchase includes an 85-unit property in West Covina and a 136-unit property in Upland, CA. Both sellers are unnamed.
Focusing on properties in Los Angeles is part of Sack Properties’ expansion into the greater Southern California market. “As part of our mandate to cultivate emerging managers, we identified Southern California as the natural next stage of growth for Sack Properties,” Maria Stamolis, senior managing director at Canyon Capital Realty Advisors, tells GlobeSt.com. “In turn, we benefit with improved portfolio geographic diversification while leveraging our respective firms’ existing infrastructure.” Kirby Sack, Sack Properties CEO, concurs, telling GlobeSt.com, “Sack Properties has been seeking attractive opportunities to expand our holdings statewide and Southern California exhibits compelling fundamentals.”
The West Covina property, South Hills Apartments, has 20 two- or three story buildings with a mix of one-, two- and three bedroom townhome-style units. Sitting on a five-acre parcel, the property is located in a prime location near schools, retail centers and employment centers. The Upland property, Parc Claremont, has 12 buildings with a mix of one- and two-bedroom units. Sitting on 6.3 acres, the property is located near Montclair Metrolink and Claremont Colleges.
Both properties will be renovated to improve the interior units and common areas. The Upland property will also get upgraded landscaping and an upgraded fitness center. “Both of these properties offer excellent opportunities for us to collaborate with Canyon and apply our in-house management capabilities to create attractive home values for our residents and add value for our capital partners,” says Sack.
Sack Properties plans to continue expanding in the Southern California market, and has allotted $100 million to multifamily investments throughout the state. At the end of last year, the partnership was particularly active, purchasing Skyline Vista Apartments and 720 North in Sunnyvale, CA and Pacifica, CA.