Dinerstein Buys Phoenix Student Community
Investar Bank provided acquisition financing for this purchase.
The Dinerstein Cos. has acquired University Valley, a 153-unit, 229-bed student housing community in Tempe, Ariz., according to Yardi Matrix information. The company paid $38.5 million to Tara Investment Group, a division of Shefflin Investments.
The buyer took out a $28 million loan from Investar Bank for this purchase, the same data provider shows. The asset previously traded in December 2021, when Nelson Partners sold it for $36.1 million.
Located at 1115 E. Lemon St., the transit-oriented community is within walking distance of the Arizona State University at Tempe campus and Mountain America Stadium. Downtown Phoenix is within 13 miles, while the Phoenix Sky Harbor International Airport is 5 miles away.
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Built in 1970 and renovated in 2014, the four-story building comprises studio, one- and two-bedroom floorplans ranging between 300 and 932 square feet. Apartments have walk-in closets, washers and dryers.
Common-area amenities include laundry facilities, a swimming pool with sun deck, barbecue and picnic areas, as well as a clubhouse. The property also has a fitness center and about 265 parking spaces, along with volleyball and basketball courts.
ASU student enrollment continues to grow
Arizona State University had 11,730 student beds completed at the end of May, according to the latest Yardi Matrix student housing report. The metro’s preleasing rate during the same month was 84.8 percent, marking a 10.7 percent year-over-year growth.
Additionally, the school had more than 2,140 beds under construction. One of the upcoming projects is a 27-story, 380-unit student community that will rise within walking distance of the university in Tempe. First residents are expected to move in starting summer 2027.
