|Laguna Village in Chandler, AZ|
Scottsdale-based P.B. Bell Asset Management, Inc. teamed up with Stonecutter Capital Management LLC in the acquisition of a multifamily portfolio totaling 2,759 units in metro Phoenix. Standard Portfolios Asset Management Co. sold the seven buildings for $168.5 million, or about $61,000 per door.
Five of the value-add apartments are located in the Southeast Valley submarket, one in the Camelback Corridor, and one is located across from Arizona State University's West Campus. Included in the sale was the:
- 320-unit Alante at the Islands, built in 1996 at 2222 N. McQueen Rd. in Chandler;
- 374-unit Crosswinds, built in 1985 at 868 S. Arizona Ave. in Chandler;
- 460-unit Laguna Village, built in 1985 at 102 W. Palomino Dr. in Chandler;
- 582-unit Tuscany Palms, built in 1986 at 901 S. Country Club Dr. in Mesa;
- 432-unit Whispering Meadows, built in 1979 at 1050 S. Longmore St. in Mesa;
- 395-unit Sienna Springs, built in 1973 at 5128 N. 15th St. in Phoenix;
- 196-unit Tela Verde, built in 1984 at 5020 W. Thunderbird Rd. in Glendale, AZ.
"Having a local company that has been imbedded in the Valley of the Sun since 1976 step up to make their largest acquisition ever shows the strength of the current Phoenix apartment market," said Brad Cooke, vice president at Colliers International. "This portfolio of seven properties represented exactly that. The properties’ strong locations with stable occupancy of 96% set it up for a perfect position for upgrading the interiors and improving the exterior. P.B. Bell intends to use the transaction as a springboard to acquire more product."
Cindy Cooke, senior vice president, and Brad Cooke with Colliers International represented the seller. The buyers handled the sale in-house, and are expected to push rents through unit and common-area upgrades across the portfolio.
This is the second time the Cooke multifamily investments team has sold these seven assets; the first time as part of a 12-property portfolio in 2007 that sold for $427.5 million, which stands as the largest multifamily deal in Phoenix history. This sale marks the largest multifamily portfolio in the greater Phoenix area so far in 2014.
Please see CoStar COMPS #3080364 for additional information on this transaction.