A joint venture between Ascenda Capital and California Municipal Finance Authority has bought the 198-unit Latitude33 Apartments in Escondido, Calif., for $97 million. The seller was R&V Management. The new owner will transition the market-rate property to a rent-restricted community. This is the second acquisition made through California’s Essential Housing Program in San Diego County.
The asset last changed hands in March 2015 in a $58.5 million deal, Yardi Matrix data shows, when R&V paid $58.5 million to Lyon Capital Ventures.
All units will be reserved for families earning between 60 and 120 percent of area median income in San Diego County. Rents will immediately decrease for qualified residents, with other residents able to continue living at the community. Matt Avital, principal & founder of Ascenda Capital, said in prepared remarks that they will reduce rents by an average of 26.5 percent compared to market rates within Escondido.
The community, situated on 4.2 acres in one of the top California markets for multifamily transactions, offers a mix of one- to three-bedroom units between 793 and 1,180 square feet. Most units are three-level townhomes with attached garages. Amenities include a fitness center, pool, spa and community room.
Located at 515 Meander Glen, the property is just north of a 137,000-square-foot neighborhood retail center, with several other shopping and dining options within a mile. The California Center for the Arts and Grape Day Park are less than half a mile southeast.