‘90s Vintage Arizona Community Sells for Almost $9M
- Apr 28, 2016
Bullhead City, Ariz.—Walika Properties has acquired the Silver Cliffs Apartment Homes, a 161-unit apartment community in Bullhead City, Ariz., from Thompson Corporation for $8.95 million.
Colliers International in Greater Phoenix represented both parties in the transaction.
“The property is ’90s vintage with a strong in-place CAP rate with consistent operations,” Trevor Koskovich, Colliers International’s executive vice president, told MHN. “Secondary markets are seeing an uptick in transactions based on the higher returns compared to larger markets like Vegas and Phoenix.”
Originally constructed in 1993, Silver Cliffs Apartment Homes features six two- and three-story buildings on approximately 4.86 acres. In total, it offers 106 one-bedroom and 55 two-bedroom units with full-size washers and dryers, dishwashers, large walk-in closets, patio or balcony, and storage areas.
Amenities include reserved covered parking plus additional open parking, heated swimming pool, 24-hour fitness center, basic cable and 24-hour maintenance.
The apartment community is situated north of Silver Creek Road, a major thoroughfare, and two miles from SR-95, which connects north to Nevada, south to California and to other major highways. The community is in proximity to K-12 schools, Mohave Community College, shopping centers, grocery stores and two parks.
According to Koskovich, the building is also in close proximity to the Western Arizona Regional Medical Center, which creates a strong tenant base of doctors and nurses.
Walika Properties acquired the asset in the completion of a 1031 tax-deferred exchange, with new financing arranged through Bank of The West.
“This transaction is evidence of higher yields that can be attained in smaller markets,” Koskovich said. “Silver Cliffs offered a well-positioned asset with positive cash flow, competitive market rents and a high occupancy of 98 percent.”
Colliers International’s executive vice presidents Bill Hahn and Jeff Sherman joined Koskovich in negotiating the deal.