CBRE arranged the sale of the multifamily communities Ascend at Kierland and Elite North Scottsdale to The Ezralow Company for $312.5 million.
CBRE’s Tyler Anderson, Sean Cunningham, Asher Gunter and Matt Peschof Phoenix Multifamily Institutional Properties represented the seller, a joint venture of Bascom Arizona Ventures and Pacific Life Insurance Company.
Built in 1996 and 1998, Ascend at Kierland (364 units) and Elite North Scottsdale (360 units) are surrounded on three sides by the Westin Kierland Resort golf course. Unit interiors feature luxury finishes including quartz countertops, new cabinets, kitchen backsplash, undermount sinks, luxury vinyl plank flooring, upgraded lighting and plumbing fixtures, tub-to-ceiling tile surround in master bath, ceiling fans, new baseboards, two-tone paint, new blinds and crown molding in the living and dining areas.
“The sellers invested significant capital to elevate the communities with new and refreshed amenities as well as renovating approximately 75 percent of the unit interiors,” said Gunter. “The unparalleled location on the golf course combined with the communities’ luxury amenities drives strong perpetual demand.
Ascend at Kierland and Elite North Scottsdale feature recently upgraded luxury amenities including state-of-the-art fitness centers with separate spin and yoga rooms, renovated resident clubhouses, and resort-inspired heated pools. Ascend at Kierland also features new amenities including a putting green, dog park, and electric car charging station. Elite at North Scottsdale has a new resort-inspired swimming pool, dog park, and package locker system.
“We pride ourselves on the level of detail we committed to repositioning these communities and we are excited for the successful outcome of this investment,” said Mark Brotherton, senior portfolio manager for Bascom Arizona Ventures. “We continue to look for new opportunities in Phoenix and take advantage of the region’s surging multifamily fundamentals.”
Phoenix led all U.S. metros in rent growth in Q2 2021 with a 15.3 percent year-over-year increase, according to CBRE research. Similarly, annual rent growth in North Scottsdale outperformed the metro average with a 16.9 percent increase.
“We have been focused on multifamily communities in Phoenix for many years and Ascend at Kierland and Elite North Scottsdale presented the opportunity to acquire immediate scale in one of the most affluent residential areas in the metro,” said Bryan Ezralow, CEO of The Ezralow Co. “Phoenix is one of the strongest multifamily markets in the country and this acquisition is part of our strategy to acquire 2,000 to 3,000 units in Metro Phoenix over the next 12 months.”