TA REALTY FUNDS DROPS $41.685 MILLION FOR 240-UNIT MULTI-FAMILY COMMUNITY IN MESA
Publish Date: 10-23-2018
Photo Credit: Apartments.com
Mesa – A fund managed by real estate investment advisor TA Realty LLC in Boston, Mass. (Michael Ruane, managing partner) paid $41.685 million ($173,688 per unit) to purchase the 240-unit Indigo Springs multi-family rental community located just south of the U.S. 60 (Superstition Freeway) at 1464 S. Stapley Drive in Mesa. PM Indigo Springs Mesa LLC, a company formed by PEM Real Estate Group in Scottsdale (Paul Mashni, principal), was the seller. The sale was brokered by Steve Gebing, and Cliff David of Marcus & Millichap Real Estate Investment Services in Phoenix. Maricopa County records show The Realty Associates Fund XII Portfolio L.P. (TA Realty limited partnership) acquired the asset in a cash transaction. In a sale that recorded at the end of August 2006 that BREW reported in September 2006, the PEM entity paid $25.5 million ($106,250 per unit) to buy Indigo Springs. Located along the west side of Stapley Drive, the 9.8-acre complex was developed in 2000. As of September 30, 2017, TA Realty was managing $10 billion in assets comprised of 43.1 million sq. ft. of industrial, office and retail buildings and 8,135 multi-family units. The company, which currently has five value-added funds under its management, made its last Valley real estate investment in July of this summer when it paid $28.675 million ($95.84 per foot blended average) to buy 299,208 sq. ft. of industrial space in Tempe and Chandler. The purchase of Indigo Springs is the first multi-family investment in the Phoenix area for TA Realty since July 2014 when BREW reported the company spending $75.45 million ($133,77 per unit blended price) to buy 564 apartment units in projects located in Chandler and Phoenix. The Boston-based investment advisor sold those two assets in two transactions last year totaling a combined $103.5 million ($183,511 per unit blended average). PEM, on the other hand, has been in a selling mode the past decade after the company purchased 15 apartment properties in Phoenix and Tucson from 2005 to 2007. Most of those assets, acquired at peak prices just prior to the collapse in the real estate market, have now been sold. While Mashni and his partners absorbed heavy losses on a portion of those projects, the former Michigan-based investor hung in there on some of the investments and was able to resell the properties at a significant profit. Find out more from Jim Buckingham of TA Realty at (617) 476-2700. Call Mashni at (480) 422-6930. Talk to Gebing and David at (602) 687-6700.
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