Colliers International’s Hahn, Sherman and Koskovich Negotiate Sale of 161-Unit Asset

Phoenix, AZ – Colliers International in Greater Phoenix negotiated the sale of Silver Cliffs Apartment Homes at 1570 Paseo Grande in Bullhead City, Arizona, for $8.95 million or $55,590 per unit.

Colliers International’s executive vice presidents Bill Hahn, Jeff Sherman and Trevor Koskovich represented both the seller and buyer. The seller was Thompson Corporation of Brookfield, Wisconsin.

The buyer was Walika Properties of Van Nuys, California, a private investment company specializing in multifamily and commercial properties. This represents their first acquisition in this market.

“This transaction is evidence of higher yields that can be attained in smaller markets,” said Koskovich. “Silver Cliffs offered a well-positioned asset with positive cash flow, competitive market rents and a high occupancy of 98 percent. Walika Properties acquired the asset in the completion of a 1031 tax-deferred exchange, with new financing arranged through Bank of The West.”

Silver Cliffs is a 161-unit apartment community built in 1993, consisting of 118,400 square feet in six two- and three-story buildings on approximately 4.86 acres. The property offers 106 one-bedroom and 55 two-bedroom units with full-size washers and dryers, dishwashers, large walk-in closets, patio or balcony, and storage areas. Common amenities include reserved covered parking plus additional open parking, heated swimming pool, 24-hour fitness center, basic cable and 24-hour maintenance.

Silver Cliffs is conveniently located north of Silver Creek Road, a major thoroughfare, and two miles from SR-95, which connects north to Nevada, south to California and to other major highways. The community is in proximity to K-12 schools, Mohave Community College, shopping centers, grocery stores and two parks.

Situated on the east side of the Colorado River near the junction of Arizona, California and Nevada, Bullhead City is one of Arizona’s fastest growing communities. As the sister city to Laughlin, Nevada, and just 90 minutes from Las Vegas, tourism is a primary economic driver centered on the resort and gaming industry. To the south is the Fort Mojave Indian Tribe’s casinos and recreational facilities. The Colorado River and Lake Mead National Recreation Area offer visitors and residents year-round recreation.

Sale Negotiated by Hahn, Sherman and Koskovich of Colliers International

Phoenix, AZ – Colliers international in Greater Phoenix negotiated the sale of San Simeon, an apartment community located at 6091 E. Golf Links Road in Tucson, Arizona. The 70-unit asset sold for $3.74 million or approximately $53,428 per unit.

Bill Hahn, Jeff Sherman and Trevor Koskovich, executive vice presidents with Colliers’ Phoenix office, represented the seller, Corey Peterson of Gilbert, Arizona.

The property was acquired by MCFT Holdings, LLC, a company formed by San Diego-based McMillin Homes, who was self-represented. MCFT Holdings acquired the asset as a long-term investment and plans to implement general property upgrades.

San Simeon was built in 1963, and underwent a large-scale renovation in 2013. The 70-unit asset consists of 57,865-square-feet in five two-story buildings on approximately 1.33 acres. The unit mix comprises 10 one-bedroom, 57 two-bedroom and 3 three-bedroom apartments, ranging from 615-square-feet to 985-square-feet. Occupancy at time of sale was 96 percent.

Common amenities include a swimming pool, playground and gated courtyards. Interior features include walk-in closets, stainless appliances, granite counters and washer-dryer hookups.

San Simeon is well-situated with several educational facilities nearby, including K-12, Pima Community College, Tucson College and the University of Arizona. It is also in proximity to major employment generators, including Davis-Monthan Air Force Base, U of A Medical Center, Tucson Medical Center, Target-anchored El Con Center and Dillard’s-anchored Park Place Mall. The surrounding area offers grocery stores, shopping centers, healthcare facilities and public parks.

[mepr-show rules=”58038″]Cap Rate: 7.03%[/mepr-show]

Colliers International’s Hahn, Sherman and Koskovich Negotiated Sale of 260-Unit Asset

Phoenix, AZ – Colliers International in Greater Phoenix completed the sale of the Sonoma Terrace apartments at 5220 W. Northern Ave., in Glendale, Arizona, for $15.35 million or approximately $59,038 per unit.

Executive Vice Presidents Trevor Koskovich, Bill Hahn and Jeff Sherman, with Colliers’ Phoenix office, represented both the seller and buyer. The seller was Mentor Properties, Inc., of Scottsdale, Arizona.

The buyer was Phoenix-based 3^rd Ave Investments, a real estate investment and management firm specializing in Arizona multifamily assets. Financing was arranged through Walker & Dunlop LLC, with a loan to purchase price ratio of approximately 75 percent. This marks the firm’s seventh multifamily acquisition in metro Phoenix since early 2015.

“This transaction is indicative of a strengthening multifamily market in the West Valley,” said Koskovich. “In 2015, West Valley vacancies ticked lower approximately 5.5 percent, while rents increased by 5 percent to 6 percent. At the same time, investment activity and prices have been on the rise, a trend we expect to continue through 2016.”

Built in 1979, Sonoma Terrace is a 260-unit Class B asset, consisting of 185,504-square-feet in 19 buildings on 17.5 acres. The two-story community offers a unit mix of 40 studio, 152 one-bedroom and 68 two-bedroom apartments ranging from 460 square feet to 1,000 square feet. Occupancy at time of sale was 95 percent.

Common area amenities include two swimming pools and spas, two landlord-owned laundry facilities, clubhouse with billiards, outdoor barbeques, 260 covered parking spaces and 155 additional open parking spaces. Apartments include gourmet kitchens with all appliances, spacious interiors, ceiling fans, and private patios or balconies. Select units feature washers, dryers and walk-in closets.

Sonoma Terrace is located in a quiet neighborhood with the nine-hole Glen Lakes Golf Course and Manistee Ranch Park across the street. Nearby educational facilities include elementary, middle and high schools; Glendale Community College and Carrington College. There is an abundance of shopping in the area, and the active downtown district of Glendale is one mile to the south.