A California investor has entered the Las Vegas market with a value-add apartment buy on the city’s east side.
Los Angeles-based TruAmerica Multifamily bought the 524-unit Solis at Flamingo, at 3275 E. Flamingo Road, from Alliance Residential in an off-market sale worth $50.5 million.
TruAmerica’s institutional capital partner in the deal was Investcorp.
The company focuses on identifying, buying and repositioning midtier apartment communities to “address a growing shortage of Class B or better affordable rental units for working-class families.”
Company officials said they’ll invest $5.5 million in capital improvements, including interior renovations and exterior and common-area upgrades such as new landscaping, pool furniture, outdoor kitchens and a pet park.
“Construction of new multifamily units throughout the United States has been on the rise for the past five years, but the majority of the new inventory is being priced out of the reach of middle-income working families,” said Greg Campbell, TruAmerica’s senior managing director. “Our platform’s core competency is the ability to identify and invest in assets at an attractive cost basis, where we can then create value through thoughtful renovation programs and improved operating performance and still offer an affordable quality living experience for our tenants.”
TruAmerica officials said they believe the Las Vegas market is in the early stages of recovery, with a “young, diverse and rapidly growing population” that increased at more than six times the national rate from 1990 to 2015. They also cited the city’s status as the nation’s top trade show destination and an economy diversifying with jobs in health care as positives for the local market.
Also, apartment vacancies have declined in every quarter since the first quarter of 2010, and should fall to 5 percent by the end of 2015, “putting additional upward pressure on rents and reinforcing the need for quality workforce housing in Las Vegas,” they said.
TruAmerica has assembled a portfolio of 9,000 rental units since 2013. In the last two weeks, it has also entered the Salt Lake City and Portland, Ore., markets.
Membership bargain
The Southern Nevada Home Builders Association has created a new membership category.
Affiliate members can join associate members and builder members for an annual rate of $40.
The category is open to employees of current association member companies.
For more information on affiliate membership, contact Holly Nostro at holly@snhba.com or 702-794-0117, extension 103.
Vision for downtown
The city of Las Vegas is remaking its vision for downtown, and it wants your input.
Through its Downtown Master Plan, the city has launched a “City by Design” effort to create a strategic approach to the urban core. It’s asking for public opinions on a citywide strategic plan, a downtown master plan, a Las Vegas Medical District Master Plan and redevelopment of Cashman Center.
The city has already held more than 100 interviews with community stakeholders, along with four public forums in January and May. It has hired global architecture and urban design firm RTKL to guide udpates to a plan that will “facilitate the physical, social and economic development of downtown Las Vegas over the next 20 years.”
To take a poll, identify favorite places and upload comments, visit lvcitybydesign.vegas.
Clothing drive
NAIOP Southern Nevada is holding a business-clothing drive through the summer.
The commercial development group’s Community Service Committee is collecting lightly used men’s and women’s business attire to donate to Communities in Schools of Nevada.
The committee is accepting donations at the group’s monthly meetings, scheduled for June 18, July 16, Aug. 20 and Sept. 17 at The Orleans. You can also leave items at Alternative Management’s offices, at 1880 E. Warm Springs Road, Suite 100.
For more information on the clothing drive or on NAIOP Southern Nevada, call 702-798-7194.
