Institutional Property Advisors (IPA), a division of Marcus & Millichap, announced the sale of The Retreat, a 148-unit multifamily asset in Santa Clarita, California. The property traded at $54.1 million, which represents $365,540 per unit.
“We ran an extremely competitive process that saw both institutional and private capital competing,” said Kevin Green, IPA executive director. “The winning bidder was a private family office that saw heightened value in the stabilized nature of the asset combined with a proven and executable renovation strategy that could be replicated.” Green and IPA’s Joseph Grabiec and Greg Harris represented the seller, a private Los Angeles owner, and procured the buyer, an Orange County-based private family. “The Santa Clarita Valley has some of the strongest demographics in Southern California,” noted Grabiec. “The Valley’s pro-business environment and ability to attract employers supports a median income of $102,381, which is 48 percent higher than the rest of Los Angeles County.” Michael Derk, executive managing director capital markets with IPA Capital Markets arranged the financing.
Located across the street from Santa Clarita’s Valencia’s neighborhood, the property is close to the Santa Clarita Valley’s premier shopping and entertainment venue, Westfield Valencia Town Center, golf courses, Six Flags Magic Mountain and Golden Valley Ranch. Santa Clarita is a top filming location for major studios, including ABC, Apple TV, and Amazon Studios and in addition to media and entertainment, Santa Clarita Valley is home to a variety of industries, including medical and biotech, aerospace and defense, and information technology.
Constructed in 1988, The Retreat has two pools with newly designed outdoor lounge space, fire pit, barbecue area, updated fitness center, modern clubhouse and leasing office, business center, and a recently completed dog park. Unit interiors feature nine-foot ceilings on the first floor, 14-foot vaulted ceilings on the second floor, washers and dryers, air conditioning and fireplaces. The average unit size is 972 square feet.