Todd Braun of CB Richard Ellis Inc.'s Phoenix office tells GlobeSt.com that the 234,696-sf apartment complex at 1033 S. Longmore Rd. was the last of seven properties owned by FowlerShore & Flanagan Partners to find a buyer.
Foley Investments of Rancho Santa Fe, CA assumed the property's existing $8.7-million Fannie Mae loan to close the deal. It plans to spend more than $500,000 to renovate the 3 1/2-story property, Braun said.
"It's a class C building in a class B location," said the broker, noting that the property's setting near the Fiesta Mall, Mesa Community College and Desert Samaritan Hospital makes it a prime rental opportunity for the new owner.
Although only 65% occupied at sale time, Braun said interior and exterior renovations will help boost occupancy levels and allow the buyer to increase rents, which presently average $537 per month. Rent is running about $50 to $100 below market value.
Earlier this year, FowlerShore & Flanagan Partners of Larkspur, CA sold off three other properties through CB Richard Ellis, including the Quail Point Apartments, a 264-unit complex at 3045 N. 67th Ave. in Phoenix, which sold for $7.7 million; the 118-unit Park Village at 226 N. Hobson St. in Mesa, which went for $3.1 million; and the Windtree Village Apartments, a 103-unit property at 6041 W Thomas Rd., also in Phoenix, that went for slightly more than $2.6 million.
The holding is the last of FowlerShore & Flanagan's Arizona assets, but its replacement firm, Fowler Flanagan, continues to invest in the Phoenix market. Braun, who represented the seller, was the sole broker on the transaction.
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