Real estate investment firm CGI+ has bought a 170-unit apartment complex in Oxnard, an acquisition it says reflects a pandemic-inspired strategy to broaden its portfolio.
“During the pandemic, suburban markets like Oxnard have experienced a strong influx of new residents from people exiting cities in search of more space and a more affordable lifestyle,” Andre Soroudi, CGI+’s executive vice president, said in a release.
That population growth, combined with soaring home prices, is fueling heavy demand for rental housing, Souroudi added.
“While this is our first multifamily acquisition in Ventura County, we’ve eyed this market for a long time due to the strong fundamentals and long-term barriers to entry for new supply,” he said.
Woodland Hills-based CGI+ paid $51 million in an off market deal for the Alturas apartment complex at 5200 S J St. in Oxnard’s South Winds neighborhood, approximately a mile from the beach. CGI+ announced the purchase on Tuesday.
According to public records the property was most recently owned by FPA Multifamily, a real estate firm that’s based in San Francisco but operates throughout the country. FPA bought the property for $34 million in late 2018, according to records.
The complex was built in 1965 and includes 170 units, most of which are two-story townhomes.
Leases for two-bedroom apartments in the building currently start at around $2,400 per month.
Half of the units have recently been renovated, according to the release, and CGI+ plans to renovate the rest. It will also rebrand the complex as Via Oxnard.
CGI+, founded by Gidi Cohen, typically focuses on highly urban development properties in L.A., New York and Atlanta; last month the firm listed one multifamily project it had developed in Koreatown for $80 million, or around $650,000 per unit.
One recent analysis from USC predicted average monthly rent in Ventura County will rise by $310 by late 2023, compared to a rise of $252 for L.A. County’s rents.
And while Oxnard, a coastal city of roughly 200,000 people may be cheaper than L.A., it’s definitely not cheap: According to the website RentCafe, average rent for an apartment there is currently over $2,200.