PHOENIX-A local investor has cherry-picked the 166-unit Phoenician Palms Apartments from an eight-property, 1,240-unit portfolio marketed at $76.8 million. The 92%-leased asset has brought $11.3 million.
Right Place Properties is planning to pick up upside through significant upgrades, inside and out to the class B complex at 3421 W. Dunlap Ave. According to Todd Braun, senior director with Cushman & Wakefield of Arizona Inc.'s Phoenix office, Right Place Properties came into the bidding process early. Its track record and competitive offer won the local seller's nod.
"The buyer saw this had a good value-add opportunity because of a unit mix with large ones, twos, threes and fours," says Braun, who, with C&W director Jim Crews, is representing Arizona Progressive LLC on its portfolio sale.
Braun says Arizona Progressive LLC brought the Metro Phoenix Value-Add Portfolio to market because the timing is right for a sale. Although it came out as a portfolio, Braun tells GlobeSt.com that the number of offers for pieces of the portfolio drove a decision for piecemeal sales. "This is a value-add portfolio, of mainly B and C properties," he says. "It's been generating a fair amount of interest."
The portfolio's units range from 523 sf to 1,018 sf. Its monthly rents are $487 to $833. All were built in the 1970s and 1980s in combinations of one-, two- and three-bedroom assets.
Still on the market are the 264-unit Quail Point Apartments at 3045 N. 67th Ave.; 192-unit Arcadia Palms Apartments at 4902 E. Thomas Rd.; 140-unit Sterling Place at 4235 N. 35th Ave.; 96-unit Los Compadres at 3518 W. Dunlap Ave; 98-unit Maridale Villa at 5701 N. 67th Ave.; 218-unit Montebello Apartments at 6534 W. Montebello Ave.; and 66-unit Cimarron Springs at 2738 W. Augusta Ave.
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