JB Matteson Acquires 216-Unit Sacramento Apartment Community for $29.75M
- Nov 25, 2014
Sacramento, Calif.—JB Matteson has acquired Medici Apartment Homes, a 216-unit apartment community in Sacramento, Calif.’s north Natomas submarket for $29.75 million and rebranded it as Avanti. Arroyo & Co. arranged the transaction.
“We liked the investment because the Sacramento employment base and apartment market are experiencing a pronounced recovery, the basis is significantly below replacement cost, there are very few additions to supply in the market, and the property offers the opportunity to add value through capital and operational improvements,” John Bellack, JB Matteson’s co-president and chief investment officer, tells MHN. “The property fits JB Matteson’s strategy to acquire newer Class A apartments in major metropolitan areas on the West Coast.”
Located at 4450 El Centro Road, the nine-building community consists of more than 200,000 square feet and offers units of one, two and three bedrooms. At the time of the sale the property was 95 percent occupied.
The units offer large floor plans with modern features and amenities including 9-foot ceilings, full-size washers and dryers, central cooling and heating, and energy efficient double-paned windows. Community amenities include a large clubhouse and leasing center, a fully equipped fitness center, resort-style pool and spa, and detached garages, covered carports and open parking stalls totaling 480 spaces.
JB Matterson is planning an aggressive rehab to the property, with plans to repaint exteriors, upgrade landscaping and resurface parking lots. It will also renovate the clubhouse and bring in a more professional management style.
The community is located five miles north of downtown Sacramento, with close proximity to shopping and services including Natomas Market Place, Arden Fair Mall and Westfield Downtown Plaza. It offers convenient access to I-5, I-80 and the northern portion of State Route 99, and is close by parks, recreational trails, schools and other amenities.
The area is nothing new to JB Matterson. In 2012, it acquired the nearby Granite Point Apartments as part of a company strategy that looks for West Coast multifamily properties with more than 100 units and built in 2000 or later. Along those lines, JB Matteson announced it plans to purchase another three to four apartment properties on the West Coast in 2015.