29th Street Capital Nabs 10th Phoenix Asset
The company plans to significantly update and renovate the 25-building community following the sale's close.
By Jeff Hamann
29th Street Capital (29SC) has closed on the acquisition of the 306-unit Mission Springs Apartments in Tempe, Ariz., making the property the company’s 10th multifamily investment in the Phoenix area. The $33.8 million sale was brokered by Cushman & Wakefield’s Jim Crews, according to Business Real Estate Weekly of Arizona. According to public records, 29SC landed a $23.9 million, seven-year mortgage from Berkeley Point Capital to complete the sale. 29SC now owns and operates more than 1,000 units in the Greater Phoenix area.
The property, located at 1311 W. Baseline Road, was constructed in 1987 and is composed of studio, one-bedroom and two-bedroom units spread across 25 buildings. The apartment community offers easy access to major highways, sitting less than one mile from both Interstate 10 and Superstition Freeway.
In a prepared statement, Dusty Eddy, 29SC’s vice president of acquisitions in Phoenix, said, “We are excited to increase the size of our Phoenix portfolio with this excellent value-add property. Mission Springs is well-located relative to many daily conveniences, transportation routes and employment opportunities.”
Renovations to begin
29SC has put aside $2.2 million for renovation work, which will include significant interior upgrades, the addition of a dog park, updates to the swimming pool and club house areas, changes to the landscaping. The interior work will focus on improving energy efficiency and updating kitchens and bathrooms.
Previous owner Gelt Inc. acquired the property in late 2012 for $23 million, according to Yardi Matrix.
Image courtesy of 29th Street Capital