Price shows record increases in multifamily property values in the area
Los Angeles – Aug. 31, 2016 – CBRE Group, Inc. announced the completion of the sale of Woodbine Apartments in La Habra, California, for about $266 per square foot -- among the highest multifamily prices in the area -- to Schroeder Investment Partners, Inc. The deal drew seven competitive bids from a variety of investors throughout Southern California.CBRE’s Senior Vice President Dan Blackwell represented Schroeder, a leading real estate investment firm focused on multifamily property acquistions in Southern California, in the $5.72 million purchase. Tom Williams from Windsor Investments, Inc. represented the unidentified private seller.
The 26-unit property, which features mostly two-bedroom floorplans, is currently renting 20 percent below market and presents a value-add opportunity to Schroeder, which is planning on repositioning and updating the three separate, two-story buildings. Additionally, Schroeder Management Company, Inc. will take over the management of the property, located at 261 N. Idaho, and rebrand the community to Idaho Springs Apartment Homes.
“This was a great opportunity for the buyer to further their expansion into Orange County and to acquire a value-add property located in an area that has seen recent year-over-year rent growth of more than 6 percent,” said Blackwell.
The property sits on approximately one acre of land within the northwestern region of Orange County, with easy access to freeways and is just minutes away from numerous community amenities and La Habra High School.
The U.S. multifamily industry is expected to go through its seventh consecutive year of strong market fundamentals in 2016, as cyclical and structural trends continue to create strong demand. Vacancy rates remain relatively low and rental growth is above the historical average, according to a CBRE U.S. multifamily research report.
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBG), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (based on 2015 revenue). The Company has more than 70,000 employees (excluding affiliates), and serves real estate investors and occupiers through more than 400 offices (excluding affiliates) worldwide. CBRE offers a broad range of integrated services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com.
