NGKF Capital Markets, in conjunction with ARA, a Newmark Company (ARA Newmark) and Mission Capital Advisors, announced the sale of the largest multihousing bulk transaction in the city’s history to MG Properties Group, a private San Diego-based real estate investor and operator. The portfolio comprises two multihousing properties totaling 722 units and 671,290 square feet: The Village at Iron Blossom at 690 and 695 East Patriot Boulevard and Vizcaya Hilltop Apartments at 1350 Grand Summit Drive, which are both located in Reno, Nevada. The $68.1 million multihousing portfolio traded via Auction.com, the nation’s leading online real estate marketplace, following heavy bidding activity. Doug Schuster, Curt Allsop and Vittal Ram of NGKF Capital Markets provided strategic marketing services and direct investor relations as showing broker on behalf of Will Sledge and Rob Beyer from the New York offices of Mission Capital Advisors LLC, a real estate capital markets solutions firm, which was retained as the seller’s lead advisor and manager of the overall sales process.
The approximate aggregate value of the transaction is $94,321.33 per unit or $101.44 per square foot.
“This portfolio presented the ideal occasion to present this investment opportunity to a wider national audience,” remarked Schuster, senior managing director. He continued, “Mission Capital and NGKF utilized Auction.com, combined with our respective regional, national and international brokerage advisory services. The team effort ensured an on-the-ground presence for the high-demand of showings, informational requests and open houses, while also allowing for the generation of a deeper potential investor pool. This was an essential element for the successful sale of a quality portfolio positioned in a smaller market.” This Nevada multihousing investment transaction is on track to be the largest this quarter and the third largest for the year in the state.
The two-phased auction process offered two opportunities for bidding, an indicative bid round handled by Mission Capital for interested parties, and finally a scheduled final bid for the top contenders 30 days thereafter via Auction.com’s online bidding platform. During the month in between bid activity, interested parties toured the properties and completed due diligence. “On the final auction day, the online bidding activity was strong,” added Allsop. The buyer, MG Properties Group, is investing in the upside potential in what is known as “The Biggest Little City in the World”. Per Will Sledge, Mission Capital’s Managing Director “the unique approach utilizing the best-in-class services of Mission’s national platform, NGKF’s local expertise, and Auction.com’s streamlined online bidding process assured results most favorable to the seller and with the highest degree of transparency to the buyer. We were collectively very pleased with the results and by the efforts of all involved.”
