San Diego-based Tower 16 Capital Partners has sold a pair of multi-family assets in Tucson, Arizona for $65,150,000 to an undisclosed buyer. The 459-unit two-pack has been assembled by Tower 16 over the past 24 months as the company has implemented a heavy repositioning effort across all assets. The properties consist of the Sierra Vista and La Mirada apartments.

“We are delighted to announce the successful sale of these assets to a strong and reputable buyer who is familiar with the Tucson market,” said Tower 16 co-founder Mike Farley. “When we acquired both assets required significant physical and managerial improvements, which we quickly implemented at both properties. The result was an execution we are proud of, leaving both properties well positioned to take advantage of the strong economic momentum in the Tucson market. »

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Both assets have undergone extensive renovations, including rental offices, outdoor amenity areas and interior unit renovations on 40% of the units. Tower 16 purchased the properties for $36 million and spent $4.9 million on improvements in the roughly two years it owned the properties. The new buyer plans to continue renovation efforts to further improve the attractiveness and performance of the assets.

Sierra Vista consists of 258 apartments located at 3535 N. 1st Avenue. The property has two swimming pools, a new clubhouse, rental office and gym. La Mirada consists of 201 apartments and is located at 4415 E. Grant Rd. La Mirada features two swimming pools, a new clubhouse with a fitness center, and new outdoor space.

“These properties were exceptional projects not only for Tower 16 but also for our investors and, more importantly, the residents of our communities. Tucson has proven to be a unique market with strong multifamily fundamentals, especially in the workforce housing space,” said Tower 16 co-founder Tyler Pruett. “The market remains at the top of our investment list as we are confident in Tucson’s future and continued growth, despite the uncertain national economic outlook.”

The properties were marketed earlier this year by Institutional Property Advisor’s Tucson team, who represented Tower 16 in the sale. The IPA team was led by Art Wadlund, Clint Wadlund and Hamid Panahi