A private investor has acquired Salado Springs, a garden-style community situated in Tempe, Ariz., from Sares-Regis Group. Berkadia facilitated the transaction on behalf of the seller and helped secure acquisition financing for the buyer. A life insurance correspondent lender provided the loan, which features a 30-year full amortization schedule, at a 3.78 percent interest rate, fixed for 15 years.
According to Yardi Matrix, Sares-Regis Group acquired the 144-unit Salado Springs in 2016, for $20.2 million, in an all-cash transaction from a private owner. As of June, the community is 97 percent occupied, while monthly rents average $1,259.
The community is located at 242 S. Beck Drive, under 2 miles from downtown Tempe. Salado Springs comprises 32 one-bedroom and 112 two-bedroom units, ranging from 615 to 911 square feet in size. Common-area amenities include a swimming pool, a jacuzzi and spa, a clubhouse, grilling stations and 316 parking spaces. The 6.8-acre site upon which Salado Springs was constructed in 1986 is located within a designated opportunity zone.
The proximity to downtown Tempe allows residents for quick access to several shops, restaurants, bars and entertainment destinations, all within a 3-mile radius. The Salt River, Tempe Beach Park and Red Mountain Freeway (Loop 202) are all nearby. Large employers include the Arizona State University, Tempe Campus, State Farm, Wells Fargo, GoDaddy, Landings Credit Union, among others.