Upgrades Planned at Below-Replacement Costs

Saratoga Ridge has sold to Utah-based Bridge Investment Group.

PHOENIX—Located within the Deer Valley submarket with good visibility on Bell Road, Saratoga Ridge is in close proximity to many local conveniences and employment centers. The community is well-positioned in a gentrifying area, with a new Fry’s Marketplace across the street and the 31-acre mixed-use development, Trellis on Bell , under construction with completion slated for 2017. The 856-unit apartment complex located at 1450 E. Bell Rd., has sold to Utah-based Bridge Investment Group for $75.5 million. Cushman & Wakefield senior director Jim Crews and director Brett Polachek represented the owner, The Variable Annuity of Life Insurance Company (AIG Asset Management LLC) of Los Angeles. “The acquisition of Saratoga Ridge provides the new owner the opportunity to reposition the asset by upgrading the common areas and unit interiors in order to take advantage of projected rental rate levels in this North Phoenix neighborhood,” said Crews. “The bid process was very competitive. The property garnered high activity and interest from investors.” Built in 1984, the apartment community encompasses 732,464 square feet of space and is currently 95% occupied. Saratoga Ridge offers one-, two- and three-bedroom floor plans with average unit size of 850 square feet. Crews tells GlobeSt.com: “This lender-owned asset provides an excellent opportunity for the buyer to acquire a large property and deploy a significant amount of capital in a re-gentrifying area of Phoenix. Their business plan to upgrade the common areas and unit interiors with a cost basis at well below replacement cost was very appealing.”