Avanti Residential, FCP Acquire Phoenix Asset for $65M

Omnia on Thomas. Image courtesy of Avanti Residential and FCP

Joint venture partners Avanti Residential and FCP have acquired Omnia on Thomas, a 382-unit apartment community in Phoenix, for $65 million. The partners did not disclose the seller.

The asset is FCP’s third multifamily investment in Phoenix and its second time partnering with Avanti. The two firms teamed up in July to acquire Heights on Huron, a 252-unit garden-style apartment community in Northglenn, Colo., for $55 million.

Capital One arranged Freddie Mac financing for the acquisition of Omnia on Thomas. Jonathan Pratt, senior vice president of agency finance at Capital One, said in a prepared statement the lender looks forward to supporting the team as it expands its multifamily footprint in the Western United States.

FCP, a privately held real estate investment company based in Chevy Chase, Md., and Avanti Residential, a multifamily investor and owner-operator headquartered in Denver, plan to invest about $4.6 million, or $12,000 per unit, in capital improvements at the property. Most of the renovations will be interior apartment upgrades.

Christian Garner, president of Avanti Residential, said in prepared remarks the acquisition allows for a meaningful capital reinvestment that will further enhance the resident experience.

Bart Hurlbut, FCP vice president of acquisitions in the Western U.S., noted the capital investment would also improve the asset’s market position.

Property details

Located at 1645 E. Thomas Road, Omnia on Thomas has studio, one- and two-bedroom floorplans. The apartments feature high ceilings, hardwood-style floors and large closets. Community amenities include four swimming pools with cabanas and shaded areas, a renovated fitness center, a courtyard, newly renovated laundry rooms, covered parking, five electric vehicle charging stations and a package management system.

The property is adjacent to Phoenix Children’s Hospital and is close to Sky Harbor Airport, the Biltmore Camelback Corridor and Old Town Scottsdale with dining and shopping options. It is located just east of State Route 51 with direct access to the Central Avenue Corridor.

Earlier deals

Both firms have been active in the Phoenix multifamily market. In August, Avanti sold Villas at Mountain Vista Ranch, a 256-unit garden-style multifamily property in Surprise, Ariz., a Phoenix suburb, to Tailwind Investment Group for $85 million. FCP and joint venture partner Tides Equities acquired Solara at Mill Avenue, a 515-unit community in Tempe, Ariz., for $77 million in September 2020.

In October, Avanti expanded its presence in Kansas City, Kan., with the acquisition of Artistry Apartments, a 341-unit community on the Missouri side of the city. Avanti purchased the property from Milhaus for $94 million. It was the firm’s seventh investment in Kansas City. Avanti has rebranded the property as Arte KC, a brand established last year for a luxury apartment community in St. Petersburg, Fla.

A joint venture of FCP and Crosland Southeast acquired 158 acres near Charlotte, N.C., and broke ground in November on The Exchange at Indian Land Apartments, a mixed-use development in Indian Land, S.C., that will have 400 residential units and 35,000 square feet of retail space.

FCP also expanded its Atlanta area holdings in October with the $40.5 million acquisition of Park 35 Apartments, a 304-unit garden-style community in Decatur, Ga. The firm has invested in 33 properties in the Atlanta market since its entry in 2015 and now owns 6,870 units in the region. Also in October, FCP purchased Grand Arbor Reserve, a 297-unit multifamily property in Raleigh, N.C., just blocks from I-440, for $48 million.