Inland Apartment Price Nears $35M

MORENO VALLEY, CA-Equity Residential of Chicago has acquired the 176-unit Broadstone Moreno Valley Ranch complex from an affiliate of Phoenix-based Alliance Residential Co. for $34.88 million, according to Hendricks & Partners. Paul Runkle and Joe Leon of the Newport Beach office brokered the sale of the complex, which is at 15100 Moreno Beach Dr.The Hendricks & Partners brokers describe the property, which is adjacent to the clubhouse at Moreno Valley Ranch Golf Course, as one of the highest quality apartment complexes developed thus far in Moreno Valley. The sales price of $198,188 per unit is one of the highest per-unit prices for the region.The sale underscores the increased activity in the Inland Empire apartment market, where Runkle recently brokered the $17.85-million sale of the 190-unit Parkview Plaza I & II complexes in Indio. He says that both properties are scheduled for extensive upgrades by the new ownership, which includes Capital Foresight LP, Cannon Equity Partners IV Ltd. and Parkview Condominiums LP of Riverside.The two complexes are at 81955 Hoover St. and 44260 Monroe St. The 60-unit Parkview Plaza II comes with a final condo map and will be converted to condominiums, according to Runkle, while the new owners will continue to operate the 130-unit Parkview Plaza I as apartments. The new owners bought the properties from a Laguna Niguel-based group of private investors.The Moreno Valley and Indio sales are further evidence of what is described in a recent Hendricks & Partners report as "continued strong apartment demand, stable vacancy rates, and healthy rent increases" in the Inland Empire. While housing remains more affordable in the Inland Empire than in many coastal areas, decreasing affordability in the Inland Empire continues to push would-be buyers into the rental market, the report states.