SEATTLE, WA - Security Properties Inc., today announced the purchase of the 207-unit Lakeside Village, a condominium rental property in the Chandler, Arizona area. The property, which is situated along a man made community lake in Chandler, is part of a master planned development that includes homes, condominiums and retail. This acquisition is the ninth purchase by Security Properties Multifamily Fund and is the first purchase by the Fund outside the Pacific Northwest.
The purchase price of the property was $16.4 million. The seller is Rose Lakeside Corporation, a Toronto-based firm that had owned the property since 2006. Of the 230 original units, 207, or 90 percent, were owned by the Rose Lakeside Corporation and have been leased as rental properties. Security Properties intends to commence a $1.9 million value-added renovation to improve common areas in conjunction with the Home Owners Association and to substantially renovate interiors for the 207 units it will be acquiring.
As part of the purchase, Security Properties will deploy Madrona Ridge Residential, its integrated property management company, to assume management responsibilities to provide residents with outstanding service.
"The combination of a well-priced, off-market property with good proximity to employers and amenities made this a smart, strategic investment for us," said David Dufenhorst, chief investment officer at Security Properties.
Major employers in the area include the Intel, which recently committed $300 million to develop a research-and-development facility that will require hundreds of highly-skilled workers. Intel is already building a $5.2 billion fabrication plant in Chandler. Other employers include Bank of America and Wells Fargo back office operations. Just minutes away from the property is the Chandler Fashion Square, a 1.3 million SF shopping center with several mainstream brands. Lakeside Village Apartments has access to a community lake that is maintained and offers catch and release fishing – a rarity in the Phoenix metro area. Also within a short walk, residents have access to well-regarded schools, a Sprouts Farmers Market grocer and solid transit options.
The Security Properties Phoenix portfolio has now grown to four properties for a total of 1,030 units located in Scottsdale, Tempe, and now Chandler.
Security Properties is a national real estate investment and operating company headquartered in Seattle, Washington with a 41-year history in both affordable and conventional multifamily rental housing.