PHOENIX—Cornerstone RealtyGroup Inc. announces the submission of a $26 millionoffer on a 272 unit multifamily property located in the greaterPhoenix metropolitan area. CRG is headquartered in OrangeCounty.

|

President of CRG,John Itzel, tells GlobeSt.com theinvestment would be a typical value-add investment for hiscompany.

|

“It's a 16-year-old,class A property and we have the opportunity to really increase itsappeal,” says Itzel. We're seeing newer class A properties with 30%higher rents, so if we can get in there and make thoseimprovements, we can see those higher rents.”

|

Itzel says theproject was built to class A standards in the late'90's.

|

“It is still abeautiful property with many amenities and a lot of potential. Itwill not take much to bring it up to speed and keep it competitivewith other, more recently developed class A properties in the samearea. By investing in interior renovations and some minor exteriorrenovations we could really drive up the value and increaseprofitability. I have previously been involved in the successfulacquisition and rehab of over 1,600 units in the Phoenixmarketplace and believe that the timing is right for thisproperty.”

|

Itzel is also lookingharder at other Arizona properties.

|

“Phoenix is a greatmarketplace, jobs are coming back—we're looking more and more atArizona.”

|

With Arizona's jobmarket fairing very well and a quickly growing population,conditions for investing in this type of property are veryfavorable. Thousands of new jobs were created in the area lastyear alone not to mention more than $1 billion invested in economicdevelopment projects. Phoenix was also listed as the nation'sfourth fastest growing city for 2014 by Forbes.

|

CEO RourkeOakland says this of the favorable economic conditions inthe area:

|

“The amount of highquality jobs in the Phoenix area and the growingpopulation

Want to continue reading?
Become a Free ALM Digital Reader.

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.