The I-10-Loop 202 expansion is energizing multifamily investment activity in Phoenix. The highly anticipated project, which will connect the 1-10-Loop 202 from Southeast Valley cities of Ahwatukee, Tempe, Chandler, Gilbert to Central Phoenix. Recent investment activity includes deals like the Avante Apartment Homes, a 428-unit apartment community in Phoenix, which traded hands for $51 million. The property is located at the interchange of the I-10 Loop 202 interchange. This is an example of the increased investment activity, which has also fueled property values and land prices for new development.

“Multifamily investors are always seeking to find opportunities in expanding locations with significant economic development in the pipeline,” Alon Shnitzer, senior managing partner at ABI Multifamily, tells GlobeSt.com. “The Loop 202 Expansion is a major west and south Phoenix area driver, which, upon its completion in 2019, should increase demand for new/updated rental housing along its corridors over the next few years due to the job growth that's expected.” Shnitzer brokered the deal of the Avante Apartment Homes along with Eddie Chang and Rue Bax.

The brokerage firm has seen an increase in investors looking for opportunities in this area, particularly for value-add opportunities. In this deal, a California-based buyer purchased the asset from a Phoenix-based investor. “There is tremendous interest for this type of value-add play, not just in this particular area but across the Valley,” adds Shnitzer. “While this particular transaction was off market, we have been experiencing a sizable increase in investors looking in this area for acquisitions.”