Soma Capital Partners, in partnership with a vehicle managed by Argosy Real Estate Partners, has acquired 1430 Q Street Apartments in Midtown Sacramento for $57.1 million. The property opened in 2021 and is 95% leased. It features 75 luxury apartment units, 8,700 square feet of ground floor retail and is walking distance to several amenities, including restaurants, retail and entertainment venues.

Soma Capital Partners acquired the property as a core-plus investment. The deal included a 99-year sale-leaseback with iStar Financial's SafeHold REIT. Tye Palonen represented SafeHold in the transaction. Scott MacDonald and Jason Parr from Cushman & Wakefield represented the sellers on the transaction. Chris Botsford and Rene Alvarez with Walker & Dunlop provided loan advisory services to secure leasehold financing for the property.

Last year, Sacramento took the lead in the apartment recovery, along with a slew of other West Coast cities. West Coast mid-size cities took the lead in Q1 rental markets, according to an analysis by RENTCafe.com. The survey pointed to the hottest six of the nation's 125 rental markets as being in or near the West Coast: Northern California's Central Valley; Spokane, WA; Boise, ID; Sacramento, CA; Southern California's Inland Empire; and Eugene, OR.