The 115-unit Eden Rock complex at 1911 E. Southmore in Pasadena attracted five to eight inquiries per week, Jeff Eisenhardt, a senior adviser in Houston for Phoenix-based Hendricks & Partners, tells GlobeSt.com. The multifamily veteran says he received a number of calls from investors whom he'd never heard of before. California and Colorado buyers in particular were on the hunt, he says.
The 3.9-acre property was under contract twice, with the close coming on the second try. The buyer of record is Eden Rock Apartments LLC of Oceanside, CA.
Kovil P. Abraham of nearby Sugar Land owned the complex for 10 years, but put it on the market because he is retiring. He previously sold a shopping center in Houston. Eisenhardt and Kevin McCarthy, also a Houston-based adviser for Hendricks & Partners, represented the seller.
The all-bills paid complex was marketed at $2.2 million, but closed for $200,000 less, Eisenhardt says. The average unit is 800 sf, with monthly rent averaging $466 or 58 cents per sf.
The rent, Eisenhardt says, is the "upside play" for the 37-year-old complex. He says the buyers hope to raise the 90% occupancy, which is several points below the submarket average, via better marketing and promotions. No capital improvements are planned, but some units are off-line because minor repairs are needed, according to Eisenhardt. The plan is to get the repairs done quickly and the units back on line to realize the upside potential in occupancy and NOI.
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