Property is located in the heart of high-tech job growth
Phoenix, March 28, 2019 – Studio 710, an apartment community located at 710 Hardy Drive in Tempe, was sold to Tara Investment Group of San Francisco for $26.75 million. The property is located in the heart of burgeoning Tempe.
“This asset is located within walking distance of the ASU campus, Tempe Town Lake, Metro Light Rail, Mill Avenue, and 50,000+ jobs,” said Brad Cooke with Colliers International in Arizona. “This is a true ‘live-work-play’ location with a 97 percent bike score.”
Tara Investment Group was self-represented in the transaction. The company purchased the apartment community from Domain Communities, a private value-add multifamily real estate investment company. Domain was previously based in Scottsdale for 10 years before moving to Houston in 2012. The principal of Domain Communities, JD Golden, has not forsaken his Arizona ties, buying over 3,000 apartment units in Mesa, Phoenix, Tempe and Tucson since 2014. “The Phoenix market has proven incredibly resilient during the past six years and is still poised for further growth” said Golden. Brad Cooke and Cindy Cooke of Colliers International in Arizona represented the seller in the transaction.
Studio 710 contains 239 apartment units within 12 buildings, totaling 98,500 square feet. Built in 1975, the two-story, garden style community features a very modern atmosphere with a recently renovated resort-style amenity package. The community now features two luxurious resort-style pools with cabanas a free Wi-Fi. A trainer-designed fitness studio, outdoor jogging track and outdoor gathering areas all have been added. Studio 710 now offers fire pits, outdoor yoga and zen space, bike racks and a variety of entertainment areas.
Forty-five of the units are in classic condition and the remaining units have been upgraded to a B level. The buyer intends to renovate the remaining 45 units, plus bring some of the B level upgrades to a more modern full upgrade to compete just below the new construction.
Tempe has been identified as one of Top 100 fastest-growing cities in the country by WalletHub. The submarket has become a home for major tech companies, many relocating from Silicon Valley. The strong job and population growth has equated to a 7.9 percent rent growth for the submarket.
About Colliers International
Colliers International (NASDAQ, TSX: CIGI) is a leading global real estate services and investment management company. With operations in 68 countries, our 14,000 enterprising people work collaboratively to provide expert advice and services to maximize the value of property for real estate occupiers, owners and investors. For more than 20 years, our experienced leadership team, owning more than 40% of our equity, have delivered industry-leading investment returns for shareholders. In 2018, corporate revenues were $2.8 billion ($3.3 billion including affiliates), with more than $26 billion of assets under management.
Colliers International in Arizona has served clients locally and globally for more than 35 years.