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TUCSON-A group of West Coast investors has paid $8.3 million for the 225-unit Deerfield Village on Fort Lowell, pushing ahead of nine other offers that went on the table during a 30-day marketing period.

The Carmel Valley, CA-based DVA225 Partners LLC and Bellevue, WA-based Vintage Deerfield LLC nabbed the 3201 E. Fort Lowell Rd. property at a 7.25% cap rate. “Deerfield Village has a strong location and is in very good condition,” says Art Wadlund of Hendricks & Partner’s Tucson office, who brokered the deal on behalf of the buyer and the seller, Santa Rita Deerfield LP of Waterloo, Ontario.

The class B community, which is located in north central Tucson just two miles from the University of Arizona, offers a strong infill location. It was built in 1986 and is about 95% occupied with average rents of $543. The complex has 116 one-bedroom apartments, 109 two-bedroom apartments, heated swimming pool and laundry facilities. According to Wadlund, the new owners have no plans to make any improvements to the complex.

Wadlund tells GlobeSt.com that the buyers purchased Deerfield Village in a 1033 Exchange, driven by the government’s appropriation of an apartment complex that they owned in Washington state. The exchange still allows the reinvestment of funds. Wadlund says the buyers also assumed the existing debt on the complex, which has an interest rate of 7%.

The buyers own three other apartment complexes in the Phoenix Valley. “They are very familiar with the metro area,” Wadlund says, “and they know the specific submarkets well.”

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