Source: Bascom Group
TUCSON, AZ - The Bascom Group has acquired Sierra Charles Apartments in the Tucson metro area. Bascom purchased Sierra Charles, a 196-unit garden-style community built in 1985, for $11,600,000, or $59,164 per unit. Financing for the acquisition was provided by MF1 Capital and was arranged by Brian Eisendrath and Cameron Chalfant at CBRE Capital Markets. Property management will be provided by MEB Management Services and construction management will be provided by CAPgro Construction Management.
Bascom's Senior Vice President and Principal of Acquisitions, Jim Singleton, stated "Sierra Charles is a well located, well-maintained asset in a quiet neighborhood with access to entertainment, shopping, dining, and major employment centers. The attractive going in yield at the property coupled with favorable financing and value-add opportunity made the acquisition particularly desirable for Bascom and our investors. We look forward to executing on Bascom's operational strengths while building our portfolio in a rapidly growing Southwestern market."
Bascom's Senior Principal of Operations, Paul Diamond, added, "While Sierra Charles has been well-maintained by current ownership, the property is extremely well-positioned for new ownership to drive appreciation through institutional management and the execution of strategic renovations. Current ownership has performed moderate improvements, but the property has not been addressed with a comprehensive renovation plan in over twenty years. Bascom will renovate unit interiors with new countertops and appliances, wood plank flooring, new baseboards, cabinetry improvements, new fixtures and lighting, and a new two-tone paint scheme. In addition, Bascom will be improving amenities with a pool deck expansion, dog park addition, and leasing office re-design."
Bascom and its affiliates have acquired and operated 51 apartment communities totaling 16,263 units in the Arizona market. Over the past year, Bascom has completed over $436.8M in multifamily transactions.