Taylor Shultz, senior associate with Marcus & Millichap Real Estate Investment Services' Phoenix office says the nine-year-old Colores Del Sol was on the market for about a year. The asset at 510 East McKellips Rd. attracted 11 offers.
Shultz, who had the marketing assignment, tells GlobeSt.com that Corundum Partners' willingness to assume the property's existing HUD loan landed the deal. The 40-year $7.2 million loan has a 6.25% interest rate. The prepayment penalty will disappear in a couple of years, Shultz says. He adds that Corondum Partners, which was self-represented in the transaction, is taking the complex as a long-term hold and will likely make some minor upgrades.
T. West Investments acquired Colores Del Sol in April 2006 for $10.5 million from Palmwood Terrace LP of Payson, AZ. Shultz said T. West, led by Dale Tittlemier, wanted to get out of the Phoenix market.
Colores Del Sol is situated on just under six acres, and has one-, two- and three-bedroom apartments measuring between 715 square feet and 1,120 square feet. Current asking rents at the 90% occupied complex range from $695 to $1,005 a month.
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