Sacramento apartments trade for $ 86 million
Oakmont Properties has acquired Element 79, a newly constructed 214 unit Class A multi-family community in El Dorado Hills, Calif., From developer AG Spanos Cos. for $ 85.6 million.
AG Spanos, a family builder of multi-family housing and blueprint communities, received $ 48.5 million construction from the Bank of the West in June 2019, according to Yardi Matrix data. The company received final certificates of occupancy for the property in October.
Executive Vice President Marc Ross of CBRE Multifamily Properties Group in Sacramento, Calif., Negotiated the transaction on behalf of the seller. Vice President Andrew Behrens, Vice President Jesse Weber and Vice President Stephen Baird of CBRE Debt & Structured Finance arranged the financing on behalf of Oakmont Properties.
Ross said in a prepared statement that Element 79 is one of the premier apartment properties in the Sacramento area and a great addition to Oakmont Properties’ expanding portfolio of premier assets in the West. United States. He said Element 79 had an average of 36 accommodation units per month since July and was 94% leased at the time of sale. Supported by strong immigration and other demand drivers, the Sacramento market is expected to experience rental growth of 15.8% by the end of 2021, Ross noted.
CBRE teams also assisted Oakmont Properties in fall 2020 with the acquisition of The Press at Midtown Quarter, a new 277 unit property in Sacramento from DeBartolo Development and SKK Developments, for $ 118 million.
Located at 4373 Town Center Blvd., Element 79 is located in the Town Center, a shopping mall considered the downtown district of El Dorado Hills. The property consists of two four-story buildings on 4.6 acres and contains one and two bedroom units ranging in size from 546 to 1,382 square feet.
Luxury apartments have stainless steel appliances, quartz countertops, digital locks, and washers and dryers in all units. Facilities include 24-hour fitness and wellness center with workout bikes and ballet bar, heated saltwater swimming pool, spa, sun terrace, grilling stations outdoor and fireplace, business center, clubhouse, coffee bar, media room, parcel lockers and pet grooming station.
The two companies have worked together in the past. Oakmont last year acquired Alira, a community of 293 units in the North Natomas neighborhood of Sacramento, for $ 92.3 million from AG Spanos according to the Sacramento Business Journal. In May 2020, Oakmont purchased Fusion 355, a 286 unit apartment community in Broomfield, Colorado, from the developer. The 256,376 square foot property in the Denver Market was completed in 2019 and was 85% leased at the time of the acquisition by Oakmont.