Canyon Partners Real Estate has formed a joint venture with Anthem Properties to build a 153-unit, mid-rise multifamily community in an opportunity zone in Sacramento. While the adjacent Bay Area has experienced double-digit rent decreases, Sacramento has actually had positive rent growth over the last year. Along with the benefits of an opportunity zone, Canyon is bullish on the fundamentals of the project, despite the market dislocation.

Despite the COVID-19 pandemic, the Sacramento multifamily market has demonstrated remarkable resilience, as in-migration trends into Sacramento have accelerated, and this project is well positioned to meet the growing need for multifamily housing in the heart of the city," a source close to Canyon Partners tells GlobeSt.com.

Canyon invested $18.8 million in the deal and the joint venture secured a $39.6 million construction loan from HSBC Bank. "Canyon Partners is focused on real estate investments in strategic locations within high-growth markets. This project is located in the heart of downtown Sacramento, and is proximate to public transit, employment centers, and entertainment options," says the firm's source. "We believe this project's thoughtful design and amenities will provide a quality living option to residents within a city experiencing strong population growth."