A 200-unit apartment building in West Covina has sold for $80.4 million.
CBRE Group Inc.’s Stewart Weston and Dean Zander represented the seller in the transaction.
“The city of West Covina has experienced significant rental growth, averaging 6.32% per annum over the last six years,” Weston said in a statement. “We expect continued growth in this submarket as tenants continue to migrate to the San Gabriel Valley looking for affordable housing and the abundance of job opportunities available.”
The property had recently undergone a $4.9 million renovation.
Upgrades were made to the majority of units in the building and all of its common areas. The property also had its roofs replaced in 2017.
“The buyer was in a 1031 exchange and owned apartments in the submarket,” Zander said in a statement. “He recognized the strength of the location plus the appeal of a fully renovated community. Since the former owner had remodeled all the common areas and 99% of the unit interiors, new ownership can enjoy the continued rent growth plus the efficiencies of operating another nearby property.”
The building has a swimming pool and spa, fitness center, barbeque area and laundry
facilities.
Of the 200 apartments at the property, 45% are one-bedroom units, 45% are two-bedroom units and 10% are three-bedroom units.
