Glendale is quickly becomingthe crown of the Tri-Cities submarket, seeing increasing investmentactivity, particularly in the multifamily sector. All three of thesubmarkets that make up the Tri-Cities—which includes Burbank,Pasadena and Glendale—are emerging as live-work-play environments,but Glendale has seen tremendous new multifamily construction,value-add investment and rising apartment rents, as well as officeand retail growth. Champion Real Estate Co. hasmade a string of new investments in Glendale, including the recentacquisition of a 36-unit community located at 348 W. Chevy ChaseDrive and a 26-unit community located at 1119-1123 E. ElkAvenue, and the investor is bullish on the future growth in themarket.

“As our recent investments in Glendale illustrate, we see thismarket in particular as a city that appeals to all ages with both afantastic internal job base as well as easy access to other corejob bases across the Los Angeles metro area including Hollywood,Downtown LA. and the San Fernando Valley,” ParkerChampion, EVP with Champion Real Estate Co., tellsGlobeSt.com. “Furthermore, with Caruso's Americana, the revampedFashion Center and Glendale Galleria offer a plethora of food andentertainment options for all ages. That coupled with strongschools and clean parks continues to illustrate the high quality oflife that is available in the Tri-Cities. In addition to our recentacquisitions in Glendale, Champion has bought, developed and ownedin Burbank and Pasadena as well. Such properties have included themixed-use Burbank Collection in heart of downtown Burbank and themixed-use Dalton across from the Pasadena Gold Line Station.”

Investor interest is growing in Glendale, and the competition ishigh to get quality multifamily assets. In addition to thehigh investor demand, opportunities to buy are limited, acombination which has helped fuel property values. “Competition wasalready fierce due to the lack of transactions within the marketbut has somehow become even more competitive as the attractivenessof Glendale to potential residents and investors continues to growdramatically,” says Champion. The supply of rentable units inGlendale is largely bifurcated with the vast majority being eithernew construction, developed and managed by institutional operatorswith huge rents serving the upper end of the market or datedClass C+ product with comparably lower rents typically managedby long-term local owner-operators that are notorious for living onthe cash flow and not reinvesting in any meaningful manner in theirproperties.”