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SB Real Estate Partners Remains Bullish on Phoenix

Posted on: March 17, 2022

By Christine Serlin

The multifamily investment firm has acquired a 180-unit garden-style community in Glendale.

Multifamily investment firm SB Real Estate Partners (SBREP) continues to bet on the Phoenix market for its strong fundamentals—comparative rental affordability, a diverse and high-quality employer base, population growth, and a muted supply dynamic in the workforce suburban locales the firm invests in.

Its latest acquisition is Cantamar Apartments, a 180-unit garden-style apartment community in Glendale, Arizona, for $58.1 million.

“Given the diverse and high-quality employment growth throughout the metro, we continue to remain bullish toward the Phoenix apartment market on an intermediate to longer-term basis,” said SBREP founder and managing principal Srijin Bandyopadhyay. “Employers continue to be drawn in by the deep labor pool and the city’s pro-business environment, along with robust net in-migration resulting from the relatively affordable cost of living. These factors collectively continue to drive very favorable supply and demand dynamics for multifamily investors.”

The community offers residents commuting access to Phoenix’s major employment hubs, with major employers USAA, Discover Financial Services, Farmers Insurance, Blue Cross Blue Shield, and others in proximity.

Built in 1998, Cantamar Apartments, which will be rebranded as Portola on Bell, features large floor plans averaging 1,086 square feet across the entire unit mix, with one-bedroom offerings averaging 834 square feet, two-bedrooms representing almost half of the property and averaging 1,181 square feet, and three-bedrooms averaging 1,366 square feet. All units include washer and dryers, 9-foot ceilings, and balconies. Community amenities include a swimming pool, a fitness center, and a resident clubhouse with a business center.

SBREP plans to complete a $4 million capital improvement program to enhance the community’s exterior and curb appeal, common area amenities, and unit interiors.

According to Bandyopadhyay, the firm also will continue dollar-cost averaging its capital into the Phoenix apartment market despite the competitive pricing environment, with a goal of acquiring another $200 million to $300 million in multifamily assets over the next 24-plus months.

https://www.multifamilyexecutive.com/business-finance/sb-real-estate-partners-remains-bullish-on-phoenix_o