"We did have offers higher but the terms weren't that attractive," Tyler Anderson, with CB Richard Ellis Inc.'s Phoenix office, tells GlobeSt.com. He said 10 bidders were vying for the 186-unit class B property, located at 2015 W. Cactus Rd., but it was buyer Palm Aire Apartments LLC that was able to close the deal the fastest.
For the efforts, Palm Aire got a solid property with 93% occupancy along the Interstate 17 employment corridor in north Phoenix. "It was a good buy," said Anderson, noting that the two-story, multi-building community carried no loans, which allowed the new owner to finance 80% of the selling price at a low interest rate.
The number of offers on the property came as no surprise to Anderson. "Eight to 10 offers is typical of a deal in Phoenix today," he said. "There's a lot of capital out there. There's a lot of people who want to leave the stock market and get into real estate and the low interest rates are making that possible."
Located in an infill area near 20th Avenue and Cactus Road, the gated community features one- and two-bedroom units with walk-in closets, washers and dryers, microwaves, French doors and dry bars. The community, with an average apartment size of 828 sf, also has a pool and spa. The monthly rent averages $677.
Anderson and Sean Cunningham, also with CB Richard Ellis' Phoenix office, represented the seller, Equity Residential of Chicago, in the transaction. The buyer did not have representation.
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