The two-story, 40-unit, multi-housing complex is located at 3669 Myrtle Ave. in North Highlands. The property was 100% leased at the time of the sale. The price per unit on the deal works out to $36,400. There are 19,908 rentable sf, which figures to a price per square foot of approximately $73.
The capitalization rate at the time of the transaction was 9.6%. While the new owner plans some slight renovations, according to a broker on the deal, his strategy is to raise rents, which he claims are under value. Leases at the complex are on a month-to-month basis.
Jim Quessenberry and Bruce Hester of Grubb & Ellis Co.'s Sacramento, Calif., office represented the buyer, Gary Baker, and the Gordon England and Irma McClinton Trust, the seller, in the transaction.
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