Colliers International in Greater Phoenix negotiated the sale of The Park at Deer Valley apartments at 17425 N. 19th Ave., in Phoenix, for $33 million or $75,688 per unit.
Executive Vice Presidents Bill Hahn, Jeff Sherman and Trevor Koskovich with Colliers’ Phoenix office represented both the buyer and seller. The seller was Bruckal Properties, Inc., of Kelowna, British Columbia, Canada. The buyer was a private investor, Billah Khan of Phoenix. Financing was arranged through Walker & Dunlop in Phoenix.
Khan added The Park at Deer Valley to his portfolio of Phoenix-area assets, which includes Acacia Pointe in Glendale and Marble Creek in Phoenix. Plans call for continuing interior and exterior upgrades started by the seller, who completed more than $3 million in renovations.
“This transaction is a prime example of how the combination of off-shore equity and low interest rates create strong financial returns for the buyer,” said Hahn. “Returns will continue to grow due to the strong concentration of major employers surrounding the I-17 and Loop-101 corridors, coupled with a thriving Deer Valley multifamily market that saw first quarter 2016 vacancy drop to 4.4 percent and rents increased by 6.8 percent.”
Built in 1984, The Park at Deer Valley is a 436-unit, Class B asset consisting of 37 two-story buildings on approximately 16.59 acres. The unit mix offers 40 one-bedroom and 396 two-bedroom apartments ranging from 604 square feet to 948 square feet. Vacancy at time of sale was 95 percent.
Unit amenities include open living areas, fully equipped kitchens, new carpeting and ceiling fans. Select units offer wood-style flooring, washers and dryers, and upgraded black-finish appliances. Common amenities include a clubhouse with Wi-Fi access, two resort-style swimming pools, spa, basketball court, Universal gym, playground, laundry, barbeques, outdoor deck area with fire pit, a dog park, and 436 covered parking and 191 open parking spaces.
The Park at Deer Valley is located on 19th Avenue, two blocks north of Bell Road, with easy access to the I-17 and Loop 101 freeways, connecting to multiple transportation arteries throughout the Valley. The Deer Valley submarket is home to a diverse employment base, with financial and insurance companies comprising the most significant segments of the major employers.
Nearby educational facilities include elementary, middle and high schools, as well as Arizona State University West Campus, Thunderbird School of Global Management, Paradise Valley Community College and Midwestern University. The area offers numerous retail, recreation and healthcare facilities.