The Dylan, a 208-unit apartment building in Oceanside, has traded hands for $74.1 million. 29^th Street Capital sold the property to an investor operating as 550 Los Arbolitos Owner LLC. The property is located near Downtown Oceanside and the Oceanside Pier, as well as major employment hubs and universities.

Marcus & Millichap's Institutional Property Advisors brokered the deal. Christopher Zorbas, Alexander Garcia, Jr. and Tyler J. Martin represented the seller and secured the buyer in the deal. Half of the interior units were renovated at the time of the sale, providing some upside for the buyer through completion of the upgrades. The property has two swimming pools, two spas, a gym and a business center for residents.

Oceanside is a thriving apartment market. Like much of California, the city has had rapidly rising home sales in the last year, reaching new records. The activity has kept many would-be homebuyers in rental units, driving low vacancy rates and putting upward pressure on rents, according to Zorbas, an executive managing director of investments at IPA. At an average of $1,850, rents at the Dylan are 42% less than the average cost of owning a home in the market.