ConAm Asset Management Buys North Pheonix Apartments for $60M

The 225-unit community netted $266,600 per unit.
Gretchen Wakeman Photography

Gretchen Wakeman Photography

Phoenix—Broadstone Sixteen 75, a 225-unit apartment community in Phoenix, has traded for $60 million, or more than $266,600 per unit. An entity formed by ConAm Asset Management Corp. of San Diego acquired the property.

The property is in the North Central Phoenix area, at the base of Piestewa Peak near 16th Street and Morten Ave. Built in 2015, Broadstone Sixteen 75 sits on five acres and offers one- and two-bedroom, two-bedroom with den and penthouse/loft-style residences.

Unit amenities include upgraded fixtures and appliances, granite countertops, gas cooktops, and GE stainless steel appliances. Common amenities include a two-story fitness center with an indoor bike maintenance shop, private pool and spa with cabanas, outdoor gaming area and direct-access podium-style parking garage.

Phoenix is one of the country’s hotter apartment markets. According to Colliers International, greater Phoenix multifamily strengthened in the third quarter, with vacancy dropping to 5.7 percent, down from 5.9 percent in the second quarter. About 1,750 units were delivered during 3Q and nearly 5,000 units have come online thus far in 2016.

Investment activity slowed in the third quarter, but sales velocity in 2016 is nevertheless ahead of last year’s pace, Colliers noted. Prices are up more than 30 percent from 2015, while cap rates have been largely unchanged.

Cushman & Wakefield Executive managing directors David Fogler and Steven Nicoluzakis of the Phoenix office represented the seller of Broadstone Sixteen 75, a limited partnership formed by Phoenix-based Alliance Residential.