Advanced Real Estate Services Inc. (ARES) has acquired a 251-unit mixed-use property in the Platinum Triangle area of Anaheim, California, from who SoCal Real Estate has learned is Avalon Bay for $112 million. The property, located at 2100 East Katella, sits directly across the street from the Grove Theater just outside the parking lot of Angel Stadium.
At the base of the 6-story building is “The Catch” restaurant, which has been a landmark in Orange County since 1978. Originally designed and built as condominiums in 2009, the property features large modern units averaging over 1,200 square feet and an abundance of amenities including a sixth-floor entertainment deck overlooking the Stadium.
Richard Julian, president of ARES says, “Our goal is to complete cosmetic upgrades so we can continue to compete with the new product currently being delivered. We feel we have an advantage as this asset is the most well located in the submarket, and the units are much larger than the competition.”
ARES is planning a complete rebranding of the property to “Stadium House” and will spend over $5.3 million in upgrades. The improvements will be focused on the leasing office, fitness center, pool area, clubhouse, dog park, courtyards, elevators, and lobbies. A new shared work space will also be created for residents who work from home to have access to professional offices and conference facilities. The interiors will receive new flooring, paint, and technology features. The sixth-floor entertainment deck will be completely overhauled so that residents can enjoy the views, game days, events, and fireworks from Angel Stadium.
“We plan to work with The Catch restaurant to host catered events on our sixth-floor deck,” Julian adds. “We will install ovens, beer taps, refrigerators, and other kitchen equipment so that the deck can be an extension of their restaurant on game days. We are also in discussions with The Catch and Flame Broiler to provide room service to our residents. These services and amenities will create a hotel-like atmosphere at the property.”
ARES says the Stadium House property should benefit from the increase in commercial development in the Platinum Triangle market. LT Global has announced plans to start construction on a transformative development (directly across the stadium parking lot) as soon as the end of this year. This project will include retail, hotel and residential uses. Also, one block away, Lennar is under construction on its “A Town” development, which will include approximately 50,000 additional square feet of retail development.
The seller of this property was represented by Sean Deasy and Ryan Fitzpatrick of HFF’s Newport Beach, California, office. Mike Elmore of Nortmarq Financial procured a $67.5 million Fannie Mae loan on behalf of ARES.
“We raised over $50 million of private equity for this acquisition,” Julian says. “A large piece of that came from the refinance of four of our other nearby properties.”