A 400-unit apartment complex next to the Shops at Mission Viejo has traded hands for $76 million, the priciest multifamily deal in Orange County so far this year.
ReNew at the Shops, the 313,520-square-foot property along Marguerite Parkway, sold this month for about $190,000 per unit, according to property records.
Huntington Beach real estate developer A&M Properties was the buyer. The firm’s website list 10 other complexes, all in OC, to its name, including several properties in Anaheim, Westminster and Tustin.
The Mission Viejo project was renamed Idyllwillow by the buyers.
It was sold by FPA Multifamily, a San Francisco investor with local offices in Irvine.
The relatively low per unit price—other big complexes have been selling closer to $250,000 per unit or higher—is a result of an underlying ground lease, which now runs 57 years, according to data from real estate market tracker CoStar Group Inc.
Built in 1988, the property was renovated this year and includes a business center, clubhouse, fitness center and pool and spa. The complex is across the street from OC’s seventh largest shopping center by sales, according to Business Journal research.
Its units include studios, one- and two-bedroom floor plans ranging in price from $1,695 to $2,225, with an average size of 784 square feet. It was about 92% occupied at the time of sale.
The sale was brokered by Berkadia Real Estate Advisors Managing Directors Joe Leon and Jeff Rowerdink, and Associate Director Michael Thagard.
Western National Active
Irvine-based Western National Group, one of the largest private investors and developers of apartments in OC, has sold a project in Anaheim for $17 million.
Westmont Apartment Homes, a 62-unit project at 3230 W Lincoln Ave. about a mile from Knott’s Berry Farm, has recently sold for $278,709 per unit, or $357 per square foot.
Los Angeles and Orange County real estate developer L’Abri Management closed on the property at the end of last month. The four-building project has one- and two-bedroom apartment units ranging in size from 750 to 960 square feet.
It’s one of two recent sales reported for Western National in the past month; reports out of Colorado said that it was part of a venture that just completed the $66.5 million sale of the 264-unit Overlook at InterQuest apartments, a newly built complex near Colorado Springs. The nearly $252,000 per unit price is a record high for that region, according to brokers from Newmark Knight Frank who worked on the deal.
On the acquisition front, a unit of Western National in February paid $72 million ,or nearly $350,000 per unit for the Landing at Long Beach, a multifamily community near the intersection of Coast Highway and Lakewood Boulevard.
Packaging Co. Buys in La Palma
Santa Fe Springs-based packaging company Norman International has bought an office in La Palma for $6 million, with plans to consolidate operations in the region to the new site.
The family-owned firm, which makes boxes and packaging used primarily for the shipment of hazardous materials, paid about $274 per square foot for the building at 28 Centerpointe Drive. The office is part of Centerpointe La Palma, a 42-acre, master-planned business campus next to the (91) Freeway.
Other tenants at the business park include Samsung, Kaiser Permanente and GE Healthcare.
CBRE Group Inc.’s Anthony DeLorenzo, Gary Stache and Doug Mack represented the seller, Irvine-based Greenlaw Partners and Westbrook Partners of Chicago, which bought the building in 2017 as part of a 10-property portfolio for $106 million. The just-sold building is one of the smaller offices that were acquired as part of that transaction.
The building “provides the ideal location for a corporate headquarters for an owner-user seeking lease stability,” DeLorenzo said in a statement.
