TUCSON, Arizona -- The National Multifamily Housing Council (NMHC)’s Rent Payment Tracker found 86.9 percent of apartment households made a full or partial rent payment by August 13 in its survey of 11.4 million units of professionally managed apartment units across the country.
This is a 2.0-percentage point, or 222,543 -household decrease from the share who paid rent through August 13, 2019 and compares to 87.6 percent that had paid by July 13, 2020. These data encompass a wide variety of market-rate rental properties across the United States, which can vary by size, type and average rental price.
CoStar shows the two major Arizona markets among the top in the nation for multifamily rent growth. Fueled by population growth and a moderation in single-family home building over the past decade, healthy demand for apartments has given landlords leverage to lift rents. Among all large U.S. markets (with more than 75,000 apartment units), Tucson had the strongest year-over-year rent growth in the second quarter; Phoenix came in third, following the Inland Empire.
The multifamily specialist team at Cushman & Wakefield | Picor, Allan Mendelsberg and Conrad Martinez, closed on over $20 million in multifamily deals in the past 30 days and continue to report strong demand by multifamily investors.
Dry Desert, LLC (Damon Giglio, member) purchased The Beverly on Fifth, a 33,188-square-foot multifamily property located at 5601 E. 5th St. in Tucson. The 35-unit apartment complex was purchased from Wildcat 5601, LLC (Brandon Matheson, manager) for $5,300,000 ($151,429 per unit). The mixture of studios, one-, two- and three-bedroom units had recently had a $2 million renovation by the seller,
1335 W. Saint Mary's, LLC (Damon Giglio, member) purchased 47,808 square feet of multifamily space located at 1335 W. Saint Mary's Rd. in Tucson. Colonia de Tucson, an 84-unit apartment complex, was purchased from 19Tuc Jak Properties, LP for $4,625,000 ($55,059 per unit). The unit mix of one- and two-bedroom units was 92% occupied at time of sale.
7Four on Stone Apartments, LLC purchased 48,704-square-feet of multifamily space located at 3450 N. Stone Avenue in Tucson. 7Four on Stone, a 74-unit apartment complex, was purchased from 7Four on Stone by Bakerson, LLC for $4,300,000 ($58,108 per unit). The unit mixture of studios, one-and two-bedroom units was 85% occupied and was an off-market value-add transaction.
The Graymont, LLC (Donald & Kathryn Harner Living Trust) purchased 18,320-square-feet of multifamily space located at 1125-1129 E. 7th St. in Tucson. The Graymont, a 32-bed, upscale student-housing property, was purchased from Wildcat 32, LLC for $4,550,000 ($142,187 per unit). The luxury student housing complex consists of 8-units and 32-beds fully occupied for the coming school year. Property sold in 2-weeks.
Gould Family Properties VIII, LLC (Don Gould, manager) purchased Lee Street Apartments, a 9,720-square-foot multifamily property located at 5420-5440 E. Lee St. in Tucson. The 11-unit complex was purchased from the Irma Gronau Trust for $650,000 ($59, 090 per unit).The unit mix is one- and two-bedroom units in three masonry buildings.
Stone Apartments, LLC (Jarrett Reidhead, manager) purchased a 7,553-square-foot apartment facility, located at 2620 N. Stone Ave. in Tucson, from Stak Properties, LLC. Stone Apartments, a 14-unit multifamily property was purchased for $640,000 ($45,14 per unit). The property is 100% one-bedrooms and sold with one unit vacant. The all-cash transaction closed in 4-days.
Allan Mendelsberg, Principal, and Conrad Martinez, Multifamily Specialists with Cushman & Wakefield | PICOR, represented both parties in these transaction.
For more information, Mendelsberg should be reached at 520.546.2721 and Martinez can be contacted at 520.546.2730.
To learn more, see RED Comp #8006, #7988, #7949, #7989, #8005, and #7971.