Berkadia announced today the sale of Villas on McDowell, of which 65 of the 179 units were broken condominiums. Villas on McDowell is located at 5223 W. Lynwood St. in Phoenix. Associate Bryan Mummaw of Berkadia’s Phoenix office arranged the multifamily sale. Greg Thielen also participated as a broker in the transaction. Villas on McDowell sold for $3.3 million, or a per-unit price of $50,769, on February 1.
The purchase price on the property equated to a cap rate of 9 percent on current operations. The property was 100 percent occupied at the time of purchase.
Built in 1983, Villas on McDowell is a mix of two- and three-bedroom floor plans and 45 of the 65 units are two-story, townhome style units. Each unit features dishwasher, microwave, washer and dryer connections, walk-in closets and enclosed outdoor patio with gate. Community amenities include a swimming pool, barbecue areas and controlled access entry.
The seller was McDowell Rentals, LLC of Mesa, Arizona. The buyer was Sunbelt Operation, LLC of Phoenix.
“As the Phoenix economy continues to experience job and rent growth, Phoenix metro’s multifamily fundamentals have been formidable in terms of both sales volume and renter demand,” said Mummaw. “The buyer saw a great opportunity to acquire a strong operating investment, while being able to add value with interior renovations.”
The community is located near Interstates 10 and 17, providing residents access to the entire Phoenix area. Villas on McDowell is four miles from Desert Sky Mall and seven miles from downtown Phoenix. Top employers in the immediate area include ON Semiconductor, University of Phoenix, St. Luke’s Medical Center and Shamrock Foods Company.