Bascom Group Acquires 123-Unit Apartment Community in Coastal Southern California for $33.3 Million

IRVINE, CA - The Bascom Group has acquired Sunset Cove Apartments, a 123-unit infill apartment community located in the coastal community of Costa Mesa, California. The $33.3 Million acquisition ($270,731/unit) closed on April 30, 2018. Brian Eisendrath, Annie Rice, and Brandon Smith of CBRE arranged the debt financing. The sale was brokered by Jim Fisher, Jeff Rowerdink, Joe Leon and Mike Smith of Berkadia.

Built in 1970, Sunset Cove is located in the growing Westside Costa Mesa community with immediate access to major transportation routes including SR-55, I-405, and SR-73 freeways. Sunset Cove offers a serene location close to renowned retail venues like South Coast Plaza and Pacific City, in addition to numerous golf courses and pristine beaches that highlight Orange County's retail and recreation attractions. The property's access to employment hubs like Irvine Business Complex, South Coast Metro, and Newport Center provide Sunset Cove residents convenient commutes to some of Southern California's preeminent employers in high-tech manufacturing, biotechnology, healthcare, tourism, and professional business services. 

Chad Sanderson, Senior Principal of Bascom, comments, "Sunset Cove was a rare opportunity to acquire a core asset in a very desirable Orange County coastal market. We were impressed by the quality of the asset and its proximity to numerous retail, entertainment, and employment centers. This marks the third acquisition by Bascom's fourth fully discretionary equity fund."

Paul Diamond, Senior Vice President of Operations for Bascom, comments, "We plan to implement some modest property upgrades that will make Sunset Cove a top choice among multifamily properties in the immediate area. These improvements will help to sustain the property over the long term and offer a higher quality living experience for tenants."

Since 1998, Bascom and its affiliates have acquired 313 multifamily properties throughout the United States, totaling 82,557 units and currently holds 18,305 units in its portfolio. Over the past twelve months Bascom has completed over $1.0 billion in multifamily transactions throughout the United States.  Sunset Cove marks Bascom's 170th multifamily property closed in California. Over the past twelve months Bascom has acquired $1 billion in multifamily transactions throughout the United States.  

Chris MacLeod, Vice President of Bascom, also added, "The market fundamentals in Costa Mesa are strong. Costa Mesahas extremely high barriers for new multifamily development. Additionally, we continue to see the demographics in the market improve year after year."

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