An Orange County–based private family investment partnership has acquired Sundance West Apartment Homes, a 41-unit apartment community located at 1990-2002 Maple Avenue in Costa Mesa, California, from Mariman & Company for $16.35 million.
Built in 1965, the property features 40 two- and three-bedroom floor plans and one studio floor plan. Situated on just under two acres of land, the property includes 12 one- and two-story buildings including a separate rental office. It also features a pool, additional storage, laundry facilities, and 69 parking spaces.
Interior renovations have been completed on 25 of the property’s units that include quartz counters in the kitchens and bathrooms, new cabinets, vinyl-plank flooring, and new stainless-steel appliances. Located adjacent to Newport Beach, California, Sundance West is a short distance to South Coast Plaza, Fashion Island, beaches, major entertainment venues, John Wayne Airport, and the top employment centers of Orange County.
Avison Young principal Peter Hauser and associate Matt Hauser, based in the Irvine office, represented the seller as well as the buyer. The buyer assumed the existing loan with Chase Bank.
“Only 10 other apartment properties have sold for over $15 million in all of Orange County this year,” Hauser says. “With so few apartment complexes for sale, there is pent-up investor demand here — especially for assets like Sundance West that are near the coast and are located in close proximity to large employment centers. Ultimately, we secured 15 offers and sold the asset for $500,000 above asking price and just under $399,000 per unit.”
He adds, “The buyer was coming out of a 1031 exchange and had the opportunity to place the proceeds in a quality apartment asset. The buyer was also able to create additional management synergy, as the investor owns other multifamily assets within the immediate area. The seller improved its position and exchanged into a larger newer apartment asset.”