Nationwide multifamily investor and operator Avanti Residential announces the acquisition of the 308-unit Summit Square apartments in the Kansas City metropolitan area for $80 million. Avanti now owns eight apartment communities in the greater Kansas City market as the firm continues to grow its portfolio of lifestyle-forward apartment communities in select growth markets across the U.S.
Summit Square was completed in 2018 with a sophisticated amenity package and condo-quality interior finishes. Avanti paid an attractive $260,000 per unit for the Class A project, well below replacement cost and comparable sales over the past year in the area.
“We continue to uncover appealing investment opportunities in Kansas City, a market where we have assembled a critical mass of apartment data and operational knowledge over the past several years,” said Christian Garner, president of Avanti Residential.
Summit Square is located at 789 NW Donovan Rd. in affluent Lee’s Summit, a Kansas City suburb that boasts high household incomes, an award-winning school district and the fastest growing MSA in the state.
In the Summit Square acquisition, Avanti was able to overcome several challenges that have beset multifamily investing over the past year, including rising interest rates, new construction and uncertain future rent growth following the steep increases in rents experienced in 2021.
“We were able to acquire this property at a favorable basis with attractive fixed-rate financing and assemble a compelling investment opportunity that we believe we will perform very well in the coming years,” said Jason Wine, director of acquisitions at Avanti.
Avanti purchased the property from NorthPoint development, which was represented by Mac Crowther and Whittaker Potts of Newmark. Avanti represented itself in the transaction.
Avanti owns and operates over 8,000 apartment units in Colorado, Arizona, Utah, Kansas City and Florida. The firm is actively acquiring core-plus and value-add apartment projects on behalf of the firm’s institutional and private capital partners.
