Thank you for sharing!

Your article was successfully shared with the contacts you provided.

COSTA MESA, CA-A Costa Mesa multifamily complex has been sold for $9.9 million to a Palo Alto-based investor, as the Orange County apartment market continues to tighten.

The 104-unit property, formerly known as Rancho Palisades Apartments, has been acquired by Pacific Property Co. The new owner has renamed the complex Missions at Back Bay and has already started renovations, which are valued at more than $1.3 million. The renovation project, which is expected to take between 12 to 18 months to complete, will include exterior and interior improvements, according to Phillip Shuster, the managing director of Pacific Property’s Southern California operations.

Interior refurbishments have already begun on areas including bathrooms, kitchens and lighting. Exterior renovations will include changes to the pool, landscaping and roofs. A fitness center will be added, Shuster says.

The seller, Rancho Palisades LLC, was represented by Randall Lee of Lily Enterprises. Pacific Property Co. was represented by John Thomas of Providence Realty Group.

“We see Orange County as one of the better areas to invest in California, especially Southern California,” Shuster says. Apparently other investors agree, as the county’s apartment market is expected to remain tight in upcoming months, according to a newly released report by Marcus & Millichap.

Developers are expected to start construction on a mere 2,200 units this year, which will keep the market tight, according to the report. Rents, which have already risen 28% from the first quarter of 1998 through the first quarter of 2001, are expected to increase another 6% this year.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?


Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.