Phoenix—Sora on Rose, a 92-unit apartment property in Phoenix, traded hands for $7.85 million. The community is located at 6201 North 16th St., near Biltmore Fashion Park and the Camelback Corridor office submarket.
Common amenities include a swimming pool with resort-style furniture, a standalone leasing office and clubhouse with a resident lounge, a fitness facility with cardio and weight training equipment, and covered parking. Twenty-four units have been upgraded recently with new cabinets and counter tops, as well as wood-style vinyl flooring.
According to MPF Research, 1,629 units in Phoenix were absorbed market-wide in the third quarter of 2015, besting the net new supply of 1,276 units during the same period and taking occupancy up 0.1 percentage points. Year-over-year, demand of 6,210 units outpaced net inventory change (3,688 units), lifting occupancy 0.8 points to a nine-year high of 94.8 percent.
As occupancy tightened, effective rents in the Phoenix market rose 2 percent quarter-over-quarter in the third quarter 2015, noted MPF. That matched the previous quarter’s increase as the largest in nine years. Year-over-year in the third quarter, rent growth grew 7.1 percent, another nine-year high, to come in at an average of $873 a month.
A Phoenix-based brokerage team made up of Marcus & Millichap’s Cliff David and Trevor Hardy, along with Steve Gebing of IPA, represented the seller of Sora on Rose, Gelt Rose Holdings LLC. Jonathan Bench, a Marcus & Millichap associate in Seattle, represented the buyer, Shoup Rose LLC. Marcus & Millichap regional manager Don Morrow was the firm’s broker of record for the transaction.