LA VERNE, CA-Western National Realty Advisors' $50-million private equity fund, Fund I, has acquired the 207-unit Monte Vista apartment complex in a value-added play. Western National acquired the property from a New York-based firm in a deal that closed at a cap rate of approximately 4.25%, according to Marc Renard of Cushman & Wakefield, who led a team that brokered the deal.
Renard tells GlobeSt.com that the transaction illustrates "the continued interest in core multifamily deals in Southern California." In addition to Renard, other member of the Cushman & Wakefield team were Manfred Schaub and Marisa Bradanini.
Western National found the investment appealing for a number of reasons, according to Stephen Duffy, the company's COO, who comments that the reasons included the "combination of low-density living, close proximity to five major freeways as well as healthy employment markets and an appealing community profile."
Duffy adds that La Verne's low affordability index for single-family home buyers makes it a market with attractive apartment fundamentals. The Western National COO says that his firm will upgrade the complex with improved kitchens and the addition of two-car garages, among other improvements.
The Monte Vista property is at 1825 Foothill Blvd. and features landscaping, walking paths, barbeque and picnic areas among its common amenities. The unit mix includes 119 one-bedrooms, 64 two-bedrooms and 24 three-bedrooms.
In addition to Monte Vista, the Western National Fund I portfolioincludes 644 units in four other multifamily assets in Orange, San Diego and Los Angeles counties, plus a 320-unit complex under construction in Wildomar in Riverside County.
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