Equity Residential, among the largest apartment owners in the U.S., sold a 70-unit complex in Santa Monica.
Stanley Black’s Black Equities Group paid $39.5 million for Citrus Suites Apartments at 1915 Ocean Way, according to Commercial Observer. The deal, first reported by the Los Angeles Business Journal, pencils out to about $564,000 a unit.
Equity Residential, which was founded by Sam Zell, paid $12.8 million for the complex in 2016.
The location explains the premium that Black Equities was willing to pay for the property. The two-building complex is a block from the beach and next door to the Hotel Casa del Mar and Shutters on the Beach, two of Santa Monica’s priciest hotels.
Black Equities’ new property is among just 16 on the West Coast with 50-plus units that are within 300 feet of a beach, according to the report.
Santa Monica is one of the wealthiest communities in the country, so both investment and residential properties command premium prices.
In January, Neil Shekhter’s WSC Communities listed 23 shovel-ready residential development properties as a portfolio, entitled for 2,100 units.
[CO] — Dennis Lynch