MG Properties Buys Apartments in SoCal and NoCal
- Jul 17, 2012
San Diego—MG Properties Group, a private San Diego-based real estate investor and operator, has completed the acquisition of two multifamily properties, one in Temecula, in southern California, and the other in Daly City, in northern California. The company paid a total of $58 million for the properties.
The Temecula property is the 344-unit Sage Canyon Apartments, located downtown. The seller was the Bascom Group LLC, based in Irvine, Calif., and the acquisition was financed with a $30.85-million, 10-year, fixed-rate mortgage from KeyBank, with funding provided by Fannie Mae. The seller was represented by Paul Runkle of CBRE.
Built in 1988, the property consists entirely of two- and three-bedroom units and is near the Temecula Town Center shopping mall. Temecula is in Riverside County, and not far from the March Joint Air Reserve Base, which is also in Riverside, and Camp Pendleton and MCAS Miramar, which are in San Diego County. Abbott Laboratories is Temecula’s largest employer.
The other property is Pacific Place Apartments, a 72-unit, mixed-use, multifamily and retail property in Daly City, which changed hands for $20.35 million. The seller was an affiliate of Pacifica Cos., a privately held investment group based out of San Diego. Pacifica Cos. previously purchased the property and leased up the apartments prior to the sale to MG Properties Group.
Built in 2009 as condominiums, the five-story property features one- and two-bedroom flats and townhomes with views of San Francisco Bay from many units and the rooftop deck. Three commercial spaces in the building totaling over 11,000 square feet were vacant at the time of deal.
The acquisition was financed with a $15.1-million, 10-year, fixed-rate mortgage from CW Capital, with funding provided by Freddie Mac. The seller was represented by Craig Chiappone at Apartment Realty Advisors. Daly City is the largest city in San Mateo County, with Seton Medical Center as its top employer.