DENVER and SCOTTSDALE, Ariz., Feb. 21, 2023 (GLOBE NEWSWIRE) -- Avanti Residential has sold the vibrant 193-unit Dwell Apartment Homes for $41.6 million to Chicago-based 29th Street Capital. The sale allows Avanti to realize its investment objective for the property and continue to reallocate the firm’s 9,000-unit apartment portfolio toward newer core-plus properties nationwide.
The authentic mid-century project is located near the intersection of Scottsdale and McDowell Roads and benefits from Scottsdale’s high-end employment, retail, dining and entertainment offerings.
“Avanti acquired Dwell in 2016 with the expectation that the McDowell Road corridor to the south was ideally positioned for transformational improvements,” said Christian Garner, president of Avanti Residential. “We are very pleased with the performance of this investment to date, especially given the impressive rental rate growth in the greater Phoenix area over the past few years.”
The transaction is accretive to the new owner as well, with 78% of the apartments poised to benefit from planned interior upgrades that will further position the property as an attractive option amid a challenging affordability gap in Scottsdale’s new apartment inventory.
“Transacting in the current market environment is no small challenge,” added Garner. “Both sides saw this as a win-win proposition given the yields we have achieved thus far and the value-add opportunity that remains ahead.”
Steve Gebing and Cliff David with Institutional Property Advisors represented Avanti in the transaction, while the buyer represented itself.
Dwell was built in two phases in 1963 and 1975, with a mix of studio, one- and two-bedroom apartments and a colorful and charming retro appeal. The complex features three swimming pools, a fitness facility and clubhouse, and courtyard with a barbeque area.
Denver-based Avanti Residential most recently recapitalized its Sunset Peak apartment community in the Denver area, where Avanti plans a $5.3 million renovation. The firm continues to acquire select core-plus and value-add apartments on behalf of its institutional and private capital partners.
About Avanti Residential
Avanti Residential is an experienced investor and owner-operator of lifestyle-forward multifamily communities in the U.S. Founded in 2005 and headquartered in Denver, Colorado. Avanti operates 37 properties across five states, comprising 9,000 units. The company utilizes a vertically integrated platform led by a seasoned executive team, each with more than 25 years’ experience in the acquisition and value creation of apartment properties. Avanti applies skilled real estate investment acumen in a culture of personal accountability and alignment to deliver exceptional value and attractive risk-adjusted returns for its institutional venture partners and private capital investors. AvantiResidential.com
About 29th Street Capital
Formed in 2009, 29th Street Capital is a privately held real estate investment firm with 16 offices nationwide. Its current portfolio consists of more than 20,000 existing units and a development pipeline of over 3,800 units. In the last year, 29SC has acquired over 21 multifamily assets across the United States consisting of over 6,300 units. The firm continues to actively pursue new opportunities. Learn more about 29SC at 29thstreetcapital.com.
Stacey Hershauer | 480-600-0195
stacey@focusaz.com
Randy Hall | 949-838-5238
randy@ideahall.com
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