A group of local investors, PSSW Investments LLC (Michael Shiner, Ben Pozez and Don Semro, members) purchased 4 acres at the northwest and northeast corner of Blacklidge Drive and Tyndall Avenue in Central Tucson for development of 74-SFRs in a joint venture with Pepper Viner Homes. The 4 acres of vacant land commanded a sale price of $750,000 ($4.41 PSF).

Already zoned R-3 for high density housing, the infill project is to be developed in two phases, with 37 two-story, two-car garage homes per phase. There hasn’t been an infill project of this magnitude in Tucson for some time and plans are still tentative pending plat approval.

Attention to design details of infill development is essential to ensure that the new development fits the existing context and gains neighborhood acceptance, and the Five Time Southern Arizona Home Builder of the Year, Pepper Viner, has shown its ability to do that with energy efficient homes at affordable prices.

The project is located just off the U of A Mountain bike path, in the Amphitheater School District, and with access from several streets to help lower development costs.

Tony Reed and Jameson Gray of Long Realty in Tucson represented the seller, Stiteler Partners LLC of Phoenix (John Stiteler, manager). Michael Shiner is also with Diversified Equity Corporation of Tucson and represented the buying group.

“It will be a positive project for the neighborhood, nobody likes living near ugly vacant lots that has been passed over in the normal course of growth. New housing, with an affordable price point should be a welcomed addition to the area,” Shiner told us.

To learn more Gray can be reached at 520.490.2404 and Reed is at 520.403.2150. Shiner should be reached at 520.247.6436. See also RED Comp #2744 for additional information.

The Central Submarket is near the University of Arizona and the most highly sought after location for multifamily investment properties.  The sales were brisk at year end for smaller multifamily units in this area. The average price per unit in this area was $64,763 per unit, with a median sale price per volume was $215,000.

Central Submarket Sales:

A duplex at 1090 E Alvord in Tucson sold for $124,900 ($60,950 per unit). The seller was SL Price IRA Investments of Scottsdale and the buyer, Kurt & Cheryl McMillen for the 2,700 SF building (built 2008) on .18 acre lot. Units consists of a two-and three bedroom unit. Judy De La Ossa of Homesmart Advantage represented both seller and investor. [mepr-show rules=”58038″]GSI: $15,600, Expenses: $2560, NOI: $13,040. Property sold at a 10% cap rate.[/mepr-show]

A triplex at 3102 N Mountain Ave in Tucson sold for $219,900 ($73,300 per unit). The investor was Patrick and Francie Riley of Tucson and the seller, David and Sinead Steele of Tucson. The 3,727 SF building was of burnt adobe construction (build 1963) on .23 aces. The unit mix was all two-bedroom units.

A duplex at 501 E 5^th Street sold for $150,000 ($75,000 per unit). Each two-bedroom unit had wood floors and porches in West University Historic District. The investor was Shawn Burke of Oakland, CA and the seller, Robert & Barbara Pack of Blacksburg, VA. The 1,456 SF building (built 1914) is on a .12 acre lot.

A six unit apartment building at 45 E Limberlost Dr in Tucson sold for $370,000 ($61,666 per unit). The unit mix was four 1-bedroom and two 2-bedroom units. The 3,872 SF property (built 1974) is on a .52 acre lot. Peter Deluca of Realty Executives represented the seller. [mepr-show rules=”58038″]GSI: $44,400, Expenses: $11,442, NOI: $32,958. Property sold at an 8.9% cap rate. Sale date was 11/8/2013. All cash transaction.[/mepr-show]

A triplex at 847 N 2^nd Avenue in Tucson sold for $290,000 ($96,666 per unit). The 2,209 SF brick building (built 1937) is on a .19 acre lot with two 2-bedroom / 1 bath and one 1-bedroom unit mix. The seller was KSW Properties of Tucson (Kaukaha Watanaube) and the buyer was David & Janice Bullock of Tucson.  [mepr-show rules=”58038″]Sale date: 12/2/1013, All cash transaction. 71 days on the market.[/mepr-show]

A duplex at 1339 & 13445 N Howard Blvd sold for $137,800 ($68,900 per unit). The 1,224 SF building (built 1947) is on a .21 acre lot. The seller was David & Natasha Taplin of Tucson and the buyer, Pui Foon Lai of Morenci, AZ.  [mepr-show rules=”58038″]Sale date: 12/12/2013. Buyer paid $34,450 down, balance financed with conventional loan. 60 days on the market[/mepr-show]

A 14-unit apartment at 302 W Flores, the former Silver Saddle Apartments, in Tucson sold for $215,000 ($15,357 per unit). The 5,839 SF building (built 1948) sits on .42 acre lot. The buyer was Foundation for Health Research and Prevention( Glenn Heidemann) of Tucson and the seller was Sue Mattson of Tucson.  [mepr-show rules=”58038″]Sale Date: 12/24/2013. Buyer paid $17,440 down with a seller carry back on the balance.[/mepr-show]

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