TEMECULA, CA—Limited new supply, high demand and difficulty entitling define the apartment market in this wine-country submarket, CBRE's Curtis Palmer tells GlobeSt.com. As we reported recently, CBRE Capital Markets has arranged the sale and financing of the Vineyards at Paseo Del Sol, a 288-unit, class A apartment community here, to the Praedium Group for $69.65 million.

Palmer and Peter Sherman of CBRE's Beverly Hills office, along with Paul Runkle of CBRE's Ontario, CA, office, represented the seller, the Dinerstein Cos. We spoke exclusively with Palmer about the apartment market in Temecula and what was special about the sale.

GlobeSt.com: What was unique for you about the Vineyards at Paseo del Sol apartment community?

Palmer: It is the premier asset in the market with the best amenity package and highest end finishes. Also, the location is in an upscale neighborhood close to shopping, dining and entertainment, fitting the profile that lifestyle renters in the market demand.

GlobeSt.com: How would you characterize the apartment market in Temecula?

Palmer: Limited new supply, high demand, and difficult to entitle.

GlobeSt.com: How does this fit in with the overall economy of this submarket?

Palmer: This is the premier apartment asset in Temecula and reflects the high end demand of renters in the submarket.

GlobeSt.com: What else should our readers know about apartment sales and/or financing in this market?

Palmer: This was an outstanding purchase by Praedium, providing an excellent return in supply constrained market with strong demand drivers.