TruAmerica Buys Tempe Apartments
- Mar 04, 2020
TruAmerica has acquired Mission Springs Apartments, a multifamily property located in Tempe, Ariz., for $54.1 million, or more than $176,000 per unit. Cushman & Wakefield facilitated the sale. TruAmerica Acquisitions III LLC purchased the property from 29SC Mission Springs LP. A few days ago, Cushman & Wakefield brokered the sale of lilli Midtown, a 147-unit boutique high-rise in Atlanta.
Built in 1987, the 306-unit, 216,168-square-foot Mission Springs Apartments is situated at 1311 W. Baseline Road. The two-story, 24-building, garden-style community on 13.8 acres is located near the intersection of I-10 and U.S. 60 in the swiftly-growing South Tempe area. It has an occupancy of 94.1 percent. The unit mix features one- and two-bedroom apartments ranging in size from 506 to 884 square feet. Units feature semi-private entries, private balconies or patios, washer-dryers and outside storage spaces. Among prominent amenities of the property are three swimming pools.
Due to its appealing location and potential for a value-add strategy execution, Mission Springs Apartments drew substantial attention from would-be buyers, many of them from California. TruAmerica Acquisitions III LLC intends to continue an ongoing interior upgrade program, while also fine-tuning rental rates.
Owing to the property’s proximity to I-10, residents of Mission Springs Apartments can quickly and conveniently access much of the Phoenix metropolitan area.
Recreational amenities in the area include South Mountain Park and Preserve, just east of the property, and Desert Botanical Garden, a short drive north.
The Phoenix area continues to witness growing multifamily development. In 2019, 39 properties collectively delivering 8,714 units were completed. Cushman & Wakefield Research indicates the year-over-year rental growth of the Phoenix market continues to be among the strongest in the nation.
Jim Crews and Jeems Lochridge from Cushman & Wakefield’s Southwest Multifamily Advisory Group served as exclusive advisors to the seller. “There were no challenges,” Crews told Multi-Housing News. “It was pretty much a straightforward deal.”