Bridge Investment Group has bought a 406-unit apartment complex in Santa Ana for $129.2 million, while pledging to preserve half the units as affordable.
The Salt Lake City, Utah-based investor purchased the two-story Horizon Apartment Homes at 2414 North Tustin Avenue, the Orange County Business Journal and the Los Angeles Times reported. The seller was The Bascom Group, based in Irvine.
The largest multifamily deal in OC this year works out to $318,227 per unit.
Bascom bought the ninth largest multifamily complex in the city, once known as the Villas at Tustin, in 2017 for $94 million, or $231,527 per unit.
Bridge Investment has linked up with Ethos Real Estate, based in Manhattan Beach, to make sure that at least half its apartments will be affordable to households earning below 80 percent of area median income.
The partnership will also offer social and recreational programs through Bridge’s longtime nonprofit partner, Project Access.
The two-story Horizon Apartment Homes, built in 1972 and renovated in 2018, sits on 12.7 acres and has studio, one-bedroom, two-bedroom and townhome-style apartments. It has a pool and a fitness center.
Monthly rents range from $2,014 to $3,560, according to Apartments.com.
The sale marks a rare big-money deal for multifamily properties in OC, where multifamily sales plunged 90 percent this fall, from summer, according to the Business Journal. The sale of Horizon Apartment Homes exceeds the total dollar volume for all third quarter deals.
The quarter ending in September had $58.5 million of OC apartment sales, compared to $567.9 million in the second quarter, according to CBRE.
In January, Huntington Beach-based A&M Properties bought the 310-unit Regency Palms Apartments at 6762 Warner Avenue in Huntington Beach for $127 million, or $409,677 per unit, according to CoStar.
In December, Irvine-based Advanced Costa Mesa 23 LLC bought the 714-unit Grand Costa Mesa at 2855 Pinecreek Drive in Costa Mesa for $232 million, or $324,930 per unit.
Bridge Investment Group, founded in 2009, has $48.9 billion in assets under management, including 60,200 apartments, 3,400 single-family home rentals and 13.1 million square feet of logistics warehouses, according to its website.
In July, Bridge paid $101 million for a 418-unit apartment complex near Walnut Creek, in the Bay Area, with plans to turn it into workforce housing.
— Dana Bartholomew
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