Berkadia has closed on three Tucson Apartment deals: Pantano Park, located at 200 S. Pantano Rd.; Woodridge, located at 8225 E. Speedway Blvd.; and El Conquistador, located at 1881 E. Irvington Rd. Senior managing director Art Wadlund and associate Clint Wadlund of the Tucson office negotiated the three transactions.

Pantano Park Apartments sold for $7.21 million ($53,015 per unit) or $71 per square-foot. Associate Rick Salinas of Berkadia’s San Francisco office arranged financing.

Built in 1981, the 136-unit property features one- and two-bedroom floor plans. Each unit features fully equipped kitchens, pantries, ceiling fans, vertical and mini-blinds, balcony or patio, storage, walk-in closets and cable/internet access. Select units have fireplaces. Community amenities include a clubhouse with kitchen and fireplace, heated swimming pool, spa, laundry facility, barbecue areas with grills and health club passes.

The community is located near Broadway Boulevard, providing residents access to the entire Tucson area. Pantano Park is two and a half miles from Park Place Mall and eight miles from University of Arizona. Top employers in the immediate area include Tucson Medical Center, St. Joseph’s Hospital, Davis-Monthan Air Force Base and Honeywell.

The seller was Brookfield Investment Corp. of Brookfield, WI (Roy Uelner, manager). The buyer was MCTUC, LLC of San Diego, CA (Mark McMillin, manager).

Woodridge Apartments sold for $9.75 million ($47,794 per unit), or $83 per square foot. Built in 1981, the 204-unit property features one- and two-bedroom floor plans. Each unit features fully equipped kitchens, mini-blinds, balcony or patio, cable access and extra storage. Select units have ceiling fans, frost-free refrigerators, and walk-in closets. Community amenities include a clubhouse with a kitchen, high-speed internet, fitness center, heated swimming pool, spa, laundry facility and garage rentals.

The community is located on Speedway Boulevard, four miles from Park Place Mall and eight miles from University of Arizona. Top employers in the immediate area include Tucson Medical Center, St. Joseph’s Hospital, Davis-Monthan Air Force Base and Honeywell. The seller was HSL Properties of Tucson (Omar Mireles, vice-president). The buyer was Woodridge Apartments Holding, LLC of San Diego (Charles and Kary Harris).

El Conquistador Apartments sold for $4.53 million ($22,537 per unit), or $56 per square-foot. Built in 1981, the 201-unit property features studio, one- and two-bedroom floor plans. Each unit features air conditioning, mini-blinds, walk-in closets, built-in dining room tables and cable access. Community amenities include a heated swimming pool, spa, gazebo, fitness center, laundry room with a television lounge, tennis, sand volleyball, racquetball and basketball courts, jogging track, shuffleboard and horseshoes.

The community is located on Irvington Road and near Campbell Avenue and Interstate 10, three miles from Tucson International Airport and five and a half miles from the Tucson Convention Center. Top employers in the immediate area include University of Arizona, Raytheon Missile Systems, Providence of Arizona Inc., and University Medical Center. The seller was Coordinated Partners Inc. of Salt Lake City. The buyer was Oksenholt Asset Managemnet, LLC of Lincoln City, OR.

To learn more Art Wadlund should contacted at 520.299.7200 and Clint Wadlund is at 520.529.9206.

For additional information log in for RED Comp # 3105, #3106, and #3120.

ABI Multifamily, a dedicated multifamily brokerage and advisory services firm, is pleased to announce the $28 million ($175,000 per unit) sale of the 160-unit, Morningside Apartment Homes in Scottsdale, AZ. Morningside, originally built in 1989, features spacious 1, 2 and 3-bedroom units with a weighted average size of approximately 1,019 square feet and full size washer/dryer in each unit. The Seller, FSC Realty, in the past 2 years completed over $600K in exterior and interior renovations to Morningside, prior to this current sale.

“This is an amazing deal, for both buyer and seller,” states Alon Shnitzer, Senior Managing Partner at ABI. “The Buyer, Wood River Properties, wanted to find a stable, high quality asset to purchase after their recent Sonoran Ridge and Quail Canyon Apartments sales. This acquisition of Morningside offers them an extremely low density, best-in-class, stable asset, with the additional upside of completing the balance of the interior renovations and significant redevelopment upside should the landsite at Morningside ever built-out to its existing high density R-5 zoning designation. In March of 2013 the current seller, FSC Realty, purchased Morningside from the largest REIT in the nation.

It was a tremendous purchase, as they only paid $21,600,000 at that time, and through the renovation upside had instantaneous equity in the property.”

The property is located in the prestigious Scottsdale Ranch Master Planned Community. The Scottsdale Ranch Community offers residents tremendous recreation opportunities including: the 42-acre man-made Lake Serena with boating and fishing activities, as well as a fully appointed community center. Directly across the street from Morningside are the Via Linda Senior Center, Scottsdale Ranch Park and Tennis Center, Boys & Girls Club of Greater Scottsdale, Laguna Elementary School and MVLL AAA Baseball Field. Additionally, the property is only minutes from major transportation corridors, Loop 101 and Shea Blvd., which provide direct access to all of Scottsdale’s fine dining, entertainment and the well-known Scottsdale-Shea Regional Hospital.

Morningside Apartment Homes sits on nearly 10-acres of land, with 18 total buildings and a dedicated leasing center/clubhouse that was recently remodeled. Additionally, all commons areas, pool and exterior/select interiors of the buildings were upgraded as well. Morningside is a solid and highly sought after “B+” class community, with 80% of its unit mix comprised of large 2 and 3-bedroom units, and situated in an “A+” location.

Morningside’s high-end community amenities include:
-Newly Renovated Resort Style (Heated) Pool & Spa (offering wireless pool-side internet) -Upgraded Fitness Center
-Outdoor BBQ Grill and Picnic Areas
-Newly Renovated at Fully Appointed Clubhouse with Business Center
-Full Covered Parking
-Lush Resort Style Landscaping

Interior unit amenities include:
-Fireplaces in select units
-Full Size Washer/Dryer
-9-10 Foot Ceilings
-Vaulted Ceilings*
-Gourmet Upgraded Kitchens with Stainless Steel Appliances*
-Built-In Bookshelves in select units
-Large Private Patio or Balcony with Storage
-Walk-In Closets

The Buyer in this transaction is an experienced Phoenix Metro multifamily investor, Wood River Properties, based in Santa Monica, CA. Wood River Properties was also represented by ABI Multifamily in the sale of the Sonoran Ridge Apartments, for Lennar Multifamily’s Tempe assemblage site – The Motely and in the sale of Quail Canyon Apartments to Canada-based, Living Wells Homes, just last month.

The Seller in this transaction is Beverly Hills, CA-based, FSC Realty. FSC Realty, LLC, a privately owned limited liability company, is an operating partner/owner of apartments, shopping centers, and office buildings. Guided by Stanley R. Fimberg and his partner, Albert A. Baril, have over 50 years of experience in the acquisition, ownership, management, financing, and disposition of all of the above property types.

The Phoenix based ABI Multifamily brokerage team of Alon Shnitzer, John Kobierowski, Rue Bax, Doug Lazovick and Eddie Chang represented both buyer and seller in this transaction. To learn more contact the ABI team at 602.714.1400.

PHOENIX, AZ – While net absorption is down for the same period a year ago, leasing activity is significantly up, according to the second quarter Phoenix industrial report released by Cushman & Wakefield of Arizona, Inc.

“Although net absorption is down year-over-year by almost 400,000 square feet, Phoenix is on track to finish 2015 strong, as leasing activity is up by 2.3 million square feet from this time last year,” says Jackie Orcutt, Market Leader | Investor Services with Cushman & Wakefield. “Cushman & Wakefield is tracking more than four million square feet that has been executed, but has yet to occupy, pushing for a strong third and fourth quarter in the latter part of the year.”

The largest lease signed in 2Q 2015 was Tuesday Morning, 593,600 SF at the Liberty Logistics Center in Southwest Phoenix. Other notable leases included Mattress Firm 170,000 SF, also in Southwest Phoenix; and Home Depot, 111,349 SF, in the North Tempe submarket. Also moving in later in 2015 are Aligned Energy with 545,176 SF and Hunter Douglas with 161,700 SF.

“Much of the current year’s absorption is from mid-sized users ranging between 60,000 and 160,000 square feet,” Orcutt says. “This is especially true in the airport and west Phoenix submarkets.

More than three million square feet of space are under construction in Metro Phoenix. After six months, 3.313 million square feet have already been completed and delivered to the market. The majority of the space delivered so far is in the Southwest Valley, although second quarter completions included 222,470 SF (three buildings at Park Ladera) in Northeast Phoenix, 237,000 SF (Shutterfly) in North Tempe and 208,339 SF (Park Lucero) in Gilbert.

Rental rates have responded to market conditions, ranging from a low of $0.39 per square foot (Southwest Valley) to a high of $1.01 (Scottsdale/Northeast Phoenix). Overall vacancy rate for the second quarter is 12.7 percent. Tempe comes in the lowest at 10.2 percent.