Inland Real Estate Acquisitions is expanding its presence in the Phoenix build-to-rent sector with its two latest acquisitions. The company acquired TerraLane at Canyon Trails for $119.7 million and TerraLane at South Mountain for $66.2 million from RSI Holding LLC. Northmarq’s Trevor Koskovich, Bill Hahn, Jesse Hudson and Ryan Boyle brokered the transaction.
The two properties were built by Hancock Homes on behalf of TerraLane in 2021 and feature one- and two-bedroom units that range from 642 to 995 square feet. Both of the communities include smart home tech packages with fiber optic 1GB internet, Wi-Fi routers pre-installed in each unit, facial recognition guest entry, self-monitored security and a smart home app to control everything. The communities share similar common amenities as well, both offering a pool, jacuzzi, outdoor deck and barbecue grilling stations.
The 263-unit TerraLane at Canyon Trails, located in Goodyear, Ariz., is 85 percent occupied, while TerraLane at South Mountain in Phoenix and its 148 units is 92 percent occupied.
PLENTY OF BTR PROJECTS IN PHOENIX
Despite being based in Illinois, Inland has been growing its presence in other markets across the U.S. In October 2020, The company acquired a 109-unit community in Long Beach, N.Y., that was nearly fully occupied. Overall, Inland has completed transactions across 49 states across a variety of property types including residential, retail centers, medical office buildings, self storage, student housing and hotels.
Inland isn’t the only company who’s been attracted to the build-to-rent sector in the Phoenix metro. Other companies like GTIS Partners and Hines recently entered the market due to the population growth along with the interest from companies looking to relocate offices. In January, GTIS Partners acquired 13 acres of land for a 144-unit build-to-rent community in Glendale, Ariz., while Hines is planning to develop its 160-unit build-to-rent community a little further from Phoenix in Surprise, Ariz.