SoCal Asset Trades for $87M
This is only the second L.A. County community of 150 units or more to command $500,000 per unit in the past year.
SCS Development Co. has purchased Paragon at Old Town for $87.3 million. Sequoia Equities sold the 163-unit asset in Monrovia, Calif., while Marcus & Millichap’s Institutional Property Advisors brokered the deal.
The asset previously traded in 2017, when Sequoia Equities purchased it for $73.8 million from Barings, Yardi Matrix data shows. Following the acquisition, Sequoia earmarked $1.4 million in capital expenditures, renovating the unit’s interiors.
The property opened in 2010. IPA Executive Managing Director Greg Harris stated, in prepared remarks, that Paragon at Old Town was the only Monrovia multifamily building to debut in the decade ending in 2017. However, that has changed since, as multifamily deliveries from 2017 to 2024 added another three communities to inventory, Yardi Matrix data shows.
READ ALSO: Focus on Locations Instead of Asset Classes, Investor Advises
Paragon at Old Town encompasses one- and two-bedroom floorplans ranging between 744 and 1,247 square feet. The community features a resident lounge, gym, game room and swimming pool, as well as outdoor lounges and courtyards. Additionally, the property includes 6,077 square feet of ground-floor retail.
Located at 700 S. Myrtle Ave., the property is proximate to several parks, restaurants and transit stops. A roughly 320,000-square-foot shopping center operates 1 mile away, while downtown Los Angeles is some 22 miles from the community.
IPA Senior Directors Joseph Grabiec, alongside Executive Managing Directors Gregory Harris and Kevin Green, represented the seller and procured the buyer.
Metro Los Angeles sees a flurry of multifamily transactions
Paragon at Old Town’s price per unit equated to $535,276, making it one of only two properties exceeding 150 units to trade above $500,000 per unit in Los Angeles County in the past year, Green said in a statement.
Metro Los Angeles was the only market in the nation to break the 1,000 multifamily transaction mark year-over-year through March, a recent Marcus & Millichap report revealed. However, more than 400 deals worth between $1 million and $2 million involved assets of five or less units. As a result, the average price per unit slid 12 percent in March compared to 2022’s figure.
