LAS VEGAS (April 14, 2011) — Alliance Residential Company is pleased to announce its acquisition of The Pueblos, an unfinished 152-unit Class A condominium community in North Las Vegas. Alliance closed the existing land and improvements on March 31 and plans to complete the remaining buildings by early 2012.
The community is just 15 minutes north of the Las Vegas Strip at 4034 Adabella Avenue. Construction on the community was stopped in 2008 due to a collapse in the condominium market. At that time, five buildings totaling 40 units had been completed. In 2010, the original lending institution was seized by the FDIC and The Pueblos was foreclosed upon. Alliance then purchased the unfinished property, with plans to complete the 112 unfinished units and reposition the asset as a best-in-market rental project.
"This is Alliance's second multifamily acquisition in Las Vegas in the last six months," says Dan McCadden, Partner/Managing Director of Development. "Alliance now owns more than 3,500 units in the Las Vegas Valley, and will continue to pursue both land and quality assets that fit our investment strategy."
Alliance will rename the community Broadstone Ravello, and brand it as an Alliance-owned asset. At completion, the property will consist of 19 two-story, wood-framed buildings, designed as "Big House" architecture by Humphreys and Partners, with attached garages. Inside, the apartment homes offer large floor plans averaging 1,240 square feet. Total capitalization upon completion will be below $14MM.
"The acquisition represents a phenomenal opportunity to acquire a distressed asset and complete construction at a basis which is significantly below market value and significantly below replacement cost," says V. Jay Hiemenz, Chief Financial Officer. "The projected yield and returns are extremely attractive relative to the multifamily opportunities across one market."
For more information, visit www.allresco.com.
Company Information
Alliance Residential, known as Alliance Communities in Texas, is a fully-integrated multifamily real estate operating company focused on the development, acquisition, construction and management of residential and mixed-use communities in the United States. Headquartered in Phoenix, Alliance has 17 regional offices divided among six regions throughout the U.S. Over the past 11 years, Alliance has become one of the largest private apartment owners and the 15th largest management company in the nation, boasting a $6.0+ billion portfolio, and 46,500 units in 24 metropolitan markets across 13 states (including Arizona, California, Colorado, District of Columbia, Florida, Georgia, Nevada, New Mexico, Oregon, Texas, Utah and Washington). For more information, visit www.allresco.com.