Trammell Crow, HQ Capital to Develop Inland Empire Apartments
- Mar 01, 2018
HQ Capital Real Estate (HQCRE), a member of HQ Capital Group, has formed a joint venture with Trammell Crow Residential (TCR) to develop Alexan Montclair, a 211-unit garden apartment property on more than six acres in Montclair, Calif. The property was designed by Architecture Design Collaborative and construction is expected to start immediately.
Alexan Montclair will count as transit-oriented, since it will be one block south of the Montclair Metrolink Station, which provides access to Pasadena and downtown Los Angeles. Common amenities will include a fitness center, resort-style swimming pool, dog park, and outdoor grilling areas.
The project will be the third multifamily development in the area. The 129-townhome Arrow Station and the 385-unit Paseos are the other two completed projects.
Inland Empire Apartment Demand Strong
The developers believe demand will be strong for new product in Montclair. “Employment growth in the Inland Empire is robust and vacancies remain well below their historical average, particularly in the Greater Ontario/Rancho Cucamonga submarket,” said Trey Wakefield, director at HQCRE.
Employers created 38,700 jobs in the Inland Empire over the 12 months before the end of the third quarter of 2017, Marcus & Millichap said in its most recent report on the market. That follows the addition of 45,300 jobs during the previous 12 months.
Apartment developers are underway on more than 2,400 apartments with completions extending into mid-2019. Most of the projects are in Ontario/Chino or Riverside.
HQCRE has previously partnered with TCR on over 30 projects. Alexan Montclair will represent the 10th investment by HQCRE’s 29th fund, RECAP Opportunity Fund II, which pursues multifamily investments in various growth markets.
HQ Capital Group invests on behalf of institutions and families in global private equity and U.S. real estate, and manages $11.9 billion in total assets. Since 2012, TCR has developed, financed, and asset managed multifamily projects totaling more than 20,000 units.
Rendering courtesy of TCR/HQCRE