CORE and Rincon Capital Partner to buy Woodridge Apts. in Tucson for $15.4 Million
TUCSON, ARIZONA — CORE Real Estate Capital (“CREC”) and Rincon Capital Partners (“Rincon“) have jointly acquired Woodridge Apartments, a 204-unit, Class C+/B- multifamily community in Tucson, AZ for $15.4 Million ($75,500 per unit).
With more than $1 billion of real estate assets under management, CREC specializes in multifamily real estate investments in secondary and tertiary cities throughout the United States. Rincon, based in Phoenix, is a vertically integrated, full service real estate and property management firm. In addition to Woodridge, CREC and Rincon have collaborated on two prior joint ventures, one located in Tucson and the other in Phoenix.
Over the next two to three years, the new owners will rebrand the property and expect to invest up to $3.6 million to remediate deferred maintenance, renovate common areas, upgrade interiors and improve landscaping to bring the property on par with nearby recently repositioned residential communities.
The 6.2-acre property, built in 1981 and located at 8225 E. Speedway Boulevard, is approximately nine miles east of downtown Tucson, with convenient access to nearby jobs, retail and entertainment. It is also within eight miles of the University of Arizona campus and in close proximity to many other demand drivers. The city’s diversified economy, comparatively low cost of living, and business friendly environment have been driving recent economic growth and supporting demand for quality housing. The property is currently over 95% occupied, a figure which has held steady throughout the past few months.
“We are bullish on multifamily as a segment of commercial real estate that has historically outperformed other more-discretionary segments during times of social and economic uncertainty. We are very familiar with Tucson, and we believe the favorable fundamentals that bolstered the market in the years leading up to Covid-19 will provide continued support throughout any Covid-19 disruptions and long after the worst of the pandemic has passed,” said Jeff Coopersmith, founder and Managing Partner of CREC. “CREC sees an important value-add opportunity at Woodridge, and we believe that, together with our partners at Rincon, we can transform the community into a market-leading option for the growing number of residents in the East Tucson area.”
To learn more see RED Comp #7923.