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SANTA BARBARA, CA-Essex Properties Trust of Palo Alto has acquired two apartment complexes totaling 108 units for $21.15 million, according to Hendricks & Partners. The Northern California-based apartment REIT bought the properties from Universe at Hope Ranch LLC of Beverly Hills through Essex Portfolio LP in a deal that was brokered by Dean Zander of the Los Angeles office of Hendricks & Partners.

The properties include the 38-unit Continental Apartments at 3968-3974 Via Lucero and the 70-unit Lucero Village at 3999 Via Lucero. Zander reports that Essex plans further upgrades to both the units and the common areas at the apartments, which have already been improved through a capital improvements program that the seller had in effect for the last few years.

In addition, Zander points out, the two properties represent hard-to-replace assets in a submarket where the vacancy rate averages less than 2% and the restrictions on development of new properties have greatly limited the supply of new units. The limits on new supply, in turn, have kept the area's vacancies low and have produced strong rent growth.