Gelt eyes $300M in multifamily acquisitions across SoCal, Western US

Firm just sold a Santa Clarita rental complex for $63M, but says will expand apartment holdings in 2020

Gelt’s Jeff Harris and Keith Wasserman with the Monterra apartments
Gelt’s Jeff Harris and Keith Wasserman with the Monterra apartments

Real estate investment firm Gelt has sold a 232-unit Santa Clarita apartment complex, but said it intends to significantly expand its multifamily holdings in Southern California and six states across the Western U.S. this year.

Culver City-based B.A.G. Investments paid $62.5 million for the Monterra Ridge Apartments, which was built on 22 acres in 1985, and located at 28085 Whites Canyon Road. Gelt announced the sale.

Tarzana-based Gelt, which focuses on value-add multifamily properties, is looking to buy $300 million of multifamily assets in Southern California; Albuquerque, New Mexico; Denver; Portland, Oregon; Reno, Nevada; Salt Lake City; and Seattle, said partner Jeff Harris.

Gelt has been active in the San Fernando Valley, particularly in Reseda, Santa Clarita and Tarzana. A few years ago, the bulk of Gelt’s holdings were in Utah and Arizona until it began turning to Los Angeles because of its housing shortage, Gelt co-founder Keith Wasserman said.

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Gelt acquired Monterra Ridge Apartments in June 2016 for $45.5 million. It made extensive improvements on the complex, including upgrading two-thirds of the unit interiors. The complex includes 88 one-bedroom units and 144 two-bedroom units, along with covered parking, a fitness center, swimming pool and spa.

Institutional Property Advisors’ Gregory Harris, Kevin Green and Joseph Grabiec represented both sides of the transaction.

B.A.G. founder and president Alan J. Gindi, a bankruptcy attorney who owns and manages real estate, could not be reached for comment.