Phoenix | apartmentcareers

Alta Drinkwater sells for $96.15 million

CBRE has arranged the sale of the 277-unit multifamily community Alta Drinkwater on behalf of Wood Partners to Starwood Real Estate Income Trust, Inc. (“SREIT”), a nontraded REIT managed by Starwood Capital Group, for $96.15 million.

CBRE’s Tyler Anderson, Sean Cunningham, Asher Gunter and Matt Pesch of Phoenix Multifamily Institutional Properties represented the sellers, Wood Partners.

Built in 2019 in Downtown Scottsdale, Alta Drinkwater features a resort-style swimming pool with poolside kitchen and dining area, a large roof-top lounge, state-of-the-art fitness center, designer resident clubhouse with a 13-foot television, outdoor courtyard with gas grills and games and secured garage parking. Individual residences at Alta Drinkwater have condominium-quality finishes with nine, ten, and 20-foot ceilings and gourmet kitchens featuring oversized quartz countertops, natural gas cooktops and energy-efficient stainless-steel appliances.

“Alta Drinkwater’s market-leading amenities, Class A finishes and iconic visibility on Scottsdale Road created a unique core offering that attracted significant interest from some of the top buyers in the country,” said Gunter. “Downtown Scottsdale is one of the top performing Class A submarkets in the Western United States.”

According to CBRE Research, year-over-year multifamily rent growth in Phoenix increased 8.2 percent in Q3 2019, the strongest growth of all metros in the United States, while rent growth in Downtown Scottsdale increased 7.6 percent during the same time.

“Alta Drinkwater is a tremendous fit for SREIT and follows our thesis of investing in targeted growth markets. This is a best-in-class physical asset, in a highly-desirable location, with close proximity to major employment centers and numerous amenities,” said David Baker, Senior Vice President of Acquisitions at Starwood Capital Group. “We believe this is a good risk-adjusted acquisition in a Downtown Scottsdale submarket that has some of the best supply-demand fundamentals in the United States.”

Alta Drinkwater sells for $96.15 million

CBRE’s Tyler Anderson, Sean Cunningham, Asher Gunter and Matt Pesch of Phoenix Multifamily Institutional Properties represented the sellers, Wood Partners.

Renovated Phoenix multifamily asset sold by Institutional Property Advisors

Institutional Property Advisors (IPA), a division of Marcus & Millichap, announced today the sale of Bloom 24, a 114-unit multifamily complex in Phoenix. Highline Property Group (Highline), based in Denver, Colorado, purchased the property for $17.15 million, or $150,438 per unit.

“Located at the doorstep of Greater Phoenix’s live, work and play epicenter, Bloom 24 presents residents with outstanding access to the exclusive employment corridors and upscale amenities of Camelback East,” said Cliff David, IPA senior director. “The property lends itself to a growing number of lifestyle advantages, including proximity to the urban renaissance taking shape within the ever-growing culinary scene, offering proximity to popular local restaurants and upscale shopping centers that are attracted to the affluence of the nearby Biltmore and Arcadia neighborhoods.” David and Steve Gebing, IPA senior managing director, represented the seller, LWH Bloom 24 Apartments LP, and procured the buyer, Highline Property Group.

“We are excited to enter the Phoenix market with the strategic acquisition of Bloom 24,” said David Feiner, partner at Highline Property Group. “Bloom is a stabilized, high-quality asset in the heart of Phoenix that is poised for sustained long-term growth. Centrally located with immediate proximity to the Camelback Corridor and great highway access to major employers in Downtown, Tempe and Phoenix Sky Harbor International Airport, Bloom offers residents uniquely large, upgraded units. We believe strongly in the Phoenix market fundamentals and will be expanding our footprint in the coming years.”

Completed in 1973 and fully renovated in 2015, Bloom 24 offers convenient access to many of the Valley’s thriving employment centers and prominent employers such as Charles Schwab, Cisco Systems, Zenreach, Humana, Fennemore Craig PC, and Northern Trust. Over 12 million square feet of retail space is within a three-mile radius of the property, including some of the most prominent neighborhood shopping centers in the Valley, such as Shops at Town & Country and Camelback Colonnade, along with the iconic Biltmore Fashion Park.

The property offers spacious floorplans complemented by upscale finishes such as new stainless-steel appliances, designer cabinetry, new laminate countertops, and quaint breakfast bars. The modernized loft-style units showcase unit size averages of 1,100 square feet and dramatic over-sized windows that capture substantial natural light. To accompany the luxurious unit interiors, community amenities include a swimming pool with resort-style furniture and cabanas, a fitness center and patio picnic areas.