By Orian Investment Real Estate | Rose Law Group Reporter
Phoenix, Arizona – New Devonshire Apartments, a cozy garden-style 16-unit complex located just off the I-17 and Devonshire Avenue, sold today for $2,150,000, $134,375 per unit, or $191 per square foot. Zack Mishkin of ORION Investment Real Estate and Davide Pio of BCRE represented the Buyer in the transaction, RPM Investments Q/I for Peggy Cramer and Christopher Hanson, CoTrustees of the Cramer Hanson Trust, UAD 6/10/16. Chris Hanson is a California buyer perfecting a 1031 exchange. The Seller was SOLOAN INC. led by Benjamin Laborde, and he was represented by Ryan Ash and Mike Woodrick of Newmark Knight Frank.
New Devonshire Apartments consists of 16 units, all constructed in 1964. The property was 93% occupied at the close of escrow. This low density community is situated on a 1.13 acre lot, boasting some of the largest open courtyards in the neighborhood. The community consists of a balanced unit mix of 8 one bedrooms and 8 two bedrooms; all units have front and back entrances and covered parking. The property is block construction with pitched roofs and is individually metered with individual HVAC units and water heaters. New Devonshire is just a 5-minute commute to the Central Corridor, a vibrant infill location experiencing a residential revival that has led to unprecedented rental demand pushing to the West, directly into the New Devonshire neighborhood. This employment hub is home to over 53,000 employees.
Zack Mishkin commented on the transaction, “The New Devonshire Apartments possess all the makings of a great value-add opportunity. Many of the big ticket items had been updated or were in good shape, the 50/50 unit mix of 1’s and 2’s boasted large footprints, washers and dryers can be added to each unit and the community has a large interior courtyard that can be easily amenatized. It’s hard to find anything in the Phoenix MSA in decent shape for under $150,000 per unit so closing at under 135k/unit, the Buyer will be all-in with his acquisition and renovation cost at what this asset probably should have traded at.”