San Diego Multifamily Wrap-Up – November 2020

Trammell Crow kicks off Little Italy high rise. El Cajon community trades. Catch up with our November selection of San Diego must-reads.
The Rylan. Image courtesy of StreetLights Residential

In November, the San Diego multifamily market remained relatively active, with several transactions closing and a couple of developments moving forward. With the rejection of Proposition 21 at the start of the month and news of significant progress for several COVID-19 vaccines, investors are seeing the light at the end of the tunnel, starting to plan for a 2021 recovery. While economic uncertainty remains front and center, the metro is in a good position, driven by an industrial and life science boom. Read our November list of San Diego must-knows:

1. DEAL – El Cajon community trades for $19 million.

Clear Sky Capital purchased Villa Grande Apartments, a 110-unit asset, from a private owner. Constructed in 1976, the property comprises 57 one-bedroom and 53 two-bedroom apartments. Common-area amenities include a clubhouse, fitness center, tennis court, spa and swimming pool. Located at 1360 E. Madison Ave. on a 4.6-acre site, the property is less than 1 mile from Interstate 8. Senior Vice Presidents Peter Scepanovic and Corey McHenry of Colliers assisted the buyer, while Coldwell Banker Commercial represented the seller. Bridge Investment Group provided acquisition financing.

2. DEVELOPMENT – StreetLights Residential completes luxury community.

The Rylan marks the firm’s second California multifamily development. The property comprises 126 studio, one- and two-bedroom residences and townhomes ranging from 593 to 1,936 square feet. The five-story mixed-use asset also includes 14,570 square feet of retail space. Located at 100 Main St. on 3 acres, the Vista property is located next to the Vista Village shopping mall. WDG served as design architect, while the architect of record is OMNIPLAN. Greystar serves as property manager.

3. DEAL – Rancho Penasquitos asset sells for $8.9 million.

The 32-unit Westbrook Apartments is located on a 1.1-acre lot at 808 Paseo Montalban. According to San Diego Business Journal, the buyer and seller were represented by Dylan Wright, vice president at ACRE Real Estate Investments. Built in 1979, the community comprises 10 one-bedroom and 22 two-bedroom apartments. Fidelity National Title provided acquisition financing through City National Bank.

4. DEVELOPMENT – Trammell Crow breaks ground on 36-story project.

The company is developing the Little Italy asset in a joint venture with Pacific Life Insurance and AAA Management. According to rebusinessonline.com, the asset is set to comprise 358 apartments, five penthouses, 32 units for low-income residents and 32,000 square feet of amenity space. Located at 1401 Union St., the site is 2 miles from San Diego International Airport. The development team includes Joseph Wong Design Associates, Nasland Engineering, EPT Designs and Parisa O’Connell Interior Design. Swinerton Builders is the general contractor and completion is schedule for 2023.