Dealmaker: Institutional Property Advisors Sells Phoenix Multifamily for $42M

(Spring, Phoenix, Ariz.)

Institutional Property Advisors, Calabasas, Calif., sold Spring, a 186-unit apartment asset in Phoenix, Ariz., for $42 million, or $225,806 per unit.

Spring is an 18-building, two-story garden-style asset built on nine acres in 1984. Units average 830 square feet. The property sits near North Mountain Park within the Phoenix Mountains Preserve close to Interstate-17. Downtown Phoenix is within a short drive and public transportation is available at the Valley Metro’s 19th Avenue/Dunlap light rail station.

“Spring’s location within the I-17 Employment Corridor provides residents with infallible access to jobs, supported by the area’s growing manufacturing economy and demand for back-office labor,” said Cliff David, IPA Executive Managing Director. David and IPA Executive Managing Director Steve Gebing represented seller Living Well Homes and secured buyer Rise48 Equity. IPA Capital Markets’ team, led by Brian Eisendrath, Cameron Chalfant, Jake Vitta and Tyler Johnson arranged acquisition financing.

David noted the $850 million Metrocenter Mall redevelopment less than three miles away will increase economic prosperity in the neighborhood around Spring. “At the asset level, the collection of interior characteristics led by large unit size averages, washers and dryers, and nearly half two-bedroom floor plans combine to offer the buyer a prime opportunity to implement a value-add strategy with a terrific baseline,” he said.