Greystar buys Rancho Palos Verdes apartments for nearly $500K per unit
Updated, 3:15 p.m., July 7: Charleston-based real estate firm Greystar purchased a 215-unit Rancho Palos Verdes apartment complex in one of the biggest deals of 2016’s second quarter.
The international firm doled out $105.5 million for the set of nine apartment buildings in May, The Real Deal has learned. The seller was the Palo Alto-based Pacific Urban Residential. The firm acquired the property in 2006 for $76 million.
Built in 1970, the complex at 6600 Beachview Drive contains one-, two- and three-bedroom apartments and a total of 239,519 square feet. Amenities include a fitness center, gated pool, spa and tennis court.
Perched atop the bluffs of the Palos Verdes Peninsula, Ranchos Palos Verdes is an affluent suburb of L.A. The apartments on the corner of Beachview Drive and Nantasket Drive are surrounded by million-dollar oceanfront estates.
Greystar will upgrade the interior and pursue some common area improvements, according to a spokesperson.
“With no new rental supply in this submarket since the 1970s and a growing demand for coastal luxury living, we saw a tremendous opportunity to reposition the asset through extensive capital and operational enhancements,” Kevin Kaberna, the firm’s senior managing director and leader of its U.S. investment platform, said in a statement.
Greystar, which primarily focuses on multi-family properties, was involved in one of the biggest multifamily sales of 2016 so far in New York: its purchase of the he Chelsea at 160 West 24th Street for $211.3 million.
Over on the West coast, Greystar is currently wrapping up its luxury development Access Culver City at 8770 Washington Boulevard. In addition to 115 apartment units, the complex will feature over 31,000 square feet of retail and restaurant space.
In March, the company bought a 159-unit apartment community in Koreatown for $72.1 million, TRD previously reported.
This story was updated to include comments from Greystar.