Continental Realty Advisors Ltd. a Denver-based owner of multifamily communities nationwide, and San Francisco-based real estate investment firm The Roxborough Group, LLC, through an affiliate of Roxborough Fund I, L.P. announced the sale of a three-community portfolio comprised of 1,194 units in Las Vegas for $137.5 million. This follows the recent sale of the 400-unit community Tesoro Ranch in Henderson, NV, also a partnership between Continental Realty Advisors, Ltd. and The Roxborough Group, LLC.
The Las Vegas portfolio included the 440-unit Stonegate Apartments constructed in 1990/91, 402-unit Loma Vista Apartments constructed in 1998, and 352-unit Viridian Palms (formerly Stonegate West) constructed in 1990.
“The business plan hinged on stabilizing what was perceived at the time of acquisition to be underperforming properties,” said David Snyder, Chairman & CEO of CRA. “This was achieved with strategic oversight, upgrades to the community common areas and amenities, as well as light value-add unit enhancements to appeal to the demographics of each location.”
In total, over $5 million was invested into repairs and improvements. The execution of this plan created more desirable communities for residents and generated pleasing results for its owners, while also positioning the properties for potential full interior renovation in the future.
“CRA and Roxborough’s strategy of uncovering ‘dislocations of asset value’ proved highly effective in our ownership of these properties,” Snyder said. “I am proud of our team, from conception of the initial business plan to the hard work of the asset and renovation managers in executing our vision, as well as on-the-ground property management.”
“This portfolio validates one of Roxborough’s primary investment strategies focused on workforce housing and the fundamental imbalances between low cost housing and supply in areas of high job and net migration. This partnership spent considerable time studying the Las Vegas market and was able to acquire assets before the recent surge of capital inflows. We are very proud this partnership has successfully executed on two investments in the area and we look forward to many more,” said Matt McCormick, Managing Director of The Roxborough Group.