ROSEVILLE, CA—The Bay Area's increased living and business costs are driving households and businesses to Sacramento. Roseville's population growth of 22.2% since 2010 bears this out. Moreover, this trend has accelerated through COVID-19 with the growth of remote workers.

Following this population trendline, Davlyn Investments recently closed escrow on the $95 million purchase of The Terraces at Highland Reserve, a 273-unit luxury class-A multifamily community. The property, which will be re-branded as Ascent at the Galleria, was constructed in 2002. It is Davlyn's fourth acquisition in Northern California, and its first in the Greater Sacramento market.

"Ascent presented an exciting opportunity to acquire a high-quality multifamily asset in a very desirable submarket, with extremely low transaction volume and equally high barriers to entry," says Paul Kerr, president of Davlyn. "As you'd expect with its age, the property has excellent bones. In addition, the property is uniquely equipped to navigate the emerging work-from-home environment, with each unit offering at least one built-in desk. Further, every unit is a corner unit, which maximizes natural light and minimizes interplay with neighboring units. Upon completion of our repositioning strategy, Ascent will offer residents a very reasonable price for finished product that will be on par with brand new class-A luxury offerings."