PHOENIX, AZ - American Realty Advisors, an institutional real estate investment manager with more than $6 billion in assets under management, has acquired a 350-unit luxury multifamily community in Phoenix, Arizona. The acquisition was made in partnership with Wood Partners, a national real estate company that acquires, develops, and manages mixed-use communities.
With this acquisition, the holdings managed by American Realty Advisors encompass more than 153 assets, including multifamily, office, retail and industrial properties throughout the U.S.
"The low-density layout of this asset, approximately 25 units per acre, coupled with its central location in the sought-after Camelback East submarket of Phoenix, makes it well-positioned relative to the newer high-density product," says Stanley Iezman, Chairman and CEO of American Realty Advisors. "The acquisition is well-aligned with American Realty Advisors' strategy to acquire well-located assets in major institutional markets nationwide on behalf of our investors, where we can implement enhancements through active management in order to add value to these assets and drive yields for investors."
The asset, currently known as Pinnacle Towne Center, will be re-named "Altera Highland," and will undergo a property-wide renovation program conducted by the partnership. In addition to the competitive physical attributes, the community is well located with immediate access to the large employment centers serving Phoenix with immediate proximity to strong retail, including Whole Foods, The Shops at Town and Country, and the Camelback Colonnade.
"By upgrading this asset, American will be able to increase rents at the property, capitalizing on the advantages offered by the asset's larger townhome floorplans with direct-access garages relative to the newer luxury product which offers smaller average unit sizes and structured parking," explains Iezman.
"This community reflects the demands of today's renters, including amenity-rich living in a central location," says Iezman, who notes that the property also features a luxury clubhouse, two resort-style pools with spas, and a fitness center, all of which will be upgraded as part of the planned enhancement program.
The Altera Highland community is located at 1601 E. Highland Avenue, Phoenix, Arizona. American Realty Advisors and Wood Partners represented themselves in the acquisition. The seller, a REIT controlled by Essex Property Trust, was represented by Tyler Anderson of CBRE.