For $1.2 million, the Calgary Group LLP took over ownership of the Town Apartment Community at 617 North 3rd Ave., an area that has become the focus of the city's revitalization effort. "They really liked the synergy of what is going on downtown," John Kobierowski of Phoenix-based Hendricks & Partners tells GlobeSt.com.
Kobierowski said the Mountain View, CA investment group was attracted to the property by the recent development of upscale loft units and the city's plans to implement light rail service in the area. At least six buildings within a mile of the two-story apartment complex are currently being converted to upscale lofts, he said.
"That market will change significantly once everything gets built," Kobierowski stressed. "They're hoping to capture the tenants who might not have the desire to buy the new lofts, but who want to live in an area very similar to a loft design."
The buyers are no strangers to downscale neighborhoods on the verge of revitalization. They also own properties in downtown San Francisco and Los Angeles along revitalization corridors. This was, however, their first venture into the Phoenix market.
The complex, comprised of 34 studio apartments surrounding a pool that rent for $425 per month, attracted at least four other offers within a month of going on the market, Greg Thielen, with Hendricks & Partners, tells GlobeSt.com. He and Kobierowski represented buyer and seller, Elaine Cunningham of Phoenix, in the transaction.
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