Rincon Partners, LLC (“Rincon”), a full-service real estate investment and management firm headquartered in Phoenix, Arizona, is pleased to highlight a solid start to 2021 with over $128 million in multifamily real estate acquisitions and property sales. This high volume of activity underscores the resiliency and attractiveness of the industry’s apartment sector for both buyers and sellers.
“Even though the economy has not fully recovered from the pandemic, our team of professionals at Rincon continues to find timely exit strategies and acquisition opportunities within the multifamily asset class,” said Kirk McAllaster, Rincon Partners President. “We are finding equal interest in our primary Southwest and Southeast U.S. markets confirming that growth in multifamily is not isolated to a single geographic region.”
Rincon’s recent transactions reflect how a variety of different apartment communities are attracting investor interest. For example:
Village Greens of Queen Creek is a 50-unit, “built-for-rent” Class A, multi-family community constructed in 2020 and located in Queen Creek, AZ. The Property was acquired on March 23, 2021 for $15.3 million and consists of townhome-style units with private backyards, 9-foot plus ceiling heights, and high-end finishes such as quartz countertops, kitchen islands, and in-unit washers and dryers. Rincon’s business plan includes capitalizing on the under-market first-generation leases and focusing on operating performance to capitalize on the dynamic Queen Creek/Gilbert, AZ multifamily rental market.
NEXTLoft Apartments in Bluffton, SC, was acquired on May 21, 2021, for $18.2 million. The property is a 148-unit, Class B+, multi-family community constructed as an extended stay hotel in 2000 and fully renovated and converted to an apartment community in 2018. The property primarily consists of studio apartments with modern finishes such as new cabinets, stainless steel appliances, and granite countertops. Rincon’s business plan includes select amenity space renovations, implementing operational improvements, and capitalizing on the submarket’s minimal inventory of studio apartments.
$95.3 Million in Dispositions Year-to-Date
Enclave at Paradise Valley sold on April 5, 2021, for $37.6 million. Rincon acquired the 174-unit, Class B property located in Phoenix, AZ, on February 28, 2019, for $24.0 million. Rincon completed a significant renovation program to reposition the Property to capitalize on its affluent demographics and convenient location that offers access to numerous major employers and retail amenities within the Phoenix MSA.
Commons at Fort Mill sold on June 23, 2021, for $25.7 million. Rincon acquired the 144-unit, Class B+, property located in Fort Mill, SC, in May 2019 for $19.3 million. Rincon completed a renovation program that included the clubhouse, fitness center, pool area, and a select number of the unit interiors to capitalize on the property’s strong multifamily rental market.
Galeria del Rio sold on July 14, 2021, for $32.0 million. Rincon acquired the 101-unit, Class B+, property located in Tucson, AZ, in March 2016 for $19.3 million as part of its 1031 exchange investment strategy. The property consists of three and four bedrooms, two-story, high construction quality townhome-style units averaging over 1,500 square feet. Each unit has 2 ½ bathrooms, an attached two-car garage, large walk-in closets, and a small private backyard.
Rincon Partners is a vertically-integrated, full-service real estate investment and management firm headquartered in Phoenix, Arizona. Rincon focuses on investments in multifamily and self-storage properties in the Southwestern and Southeastern United States. Its multifamily investment strategy focuses on moderately sized, value-add and core-plus investment opportunities. Rincon’s self-storage investment strategy includes the acquisition and development of Class A, climate-controlled properties in high growth markets.
Since its inception in 2015, Rincon has acquired nineteen multifamily properties and completed two self-storage developments with project values totaling over $400 million located in the Phoenix, Tucson, San Antonio, Las Vegas, Charlotte, and Atlanta MSAs.
For further information on new acquisitions and joint venture opportunities, please contact Brian McGlynn, Chief Investment Officer, in our Phoenix, AZ office at (480) 378-2959.