Printer-friendly version SAN DIEGO, CA - March 31, 2014 – HFF announced today that it has closed the $5.65 million sale of and secured $3.95 million in acquisition financing for Kenora Terrace, a 46-unit, garden-style multi-housing community in Spring Valley, California.
HFF marketed the property on behalf of Pacifica Companies. Doug Wetton Properties purchased the property for $5.65 million. HFF also secured a three-year, interest only acquisition loan on behalf of the buyer through a balance sheet lender.
Kenora Terrace is located at 3541 Kenora Drive with nearby access to State Routes 94 and 125 and Interstate 8, which provide direct access to major employment centers in downtown San Diego and Mission Valley. Situated on 2.5 acres, the property totals 40,834 rentable square feet and includes 40 two-bedroom and six three-bedroom floor plans. Built in 1979, 13 of the property’s units were partially renovated prior to the sale. Community amenities include a playground, barbecue area and on-site parking.
The HFF investment sales team representing Pacifica Companies was led by director Hunter Combs.
HFF’s debt placement team was led by senior managing director Aldon Cole.
“Kenora Terrace presented a great opportunity for investors with its desirable location within Spring Valley, family-oriented unit mix consisting of large two- and three-bedroom units, and high occupancy (fully leased at closing) in a historically well-leased submarket. Per MarketPointe, the East County San Diego submarket has a 3.5 percent vacancy rate compared to the 4.6 percent vacancy rate for the San Diego Metro, as of September 2013. Looking forward, Kenora Terrace’s submarket is forecast to have an average vacancy rate of 1.4 percent during the next five years according to Reis, lower than San Diego Metro (2.4 percent), the West (3.8 percent) and the nation (4.4 percent),” commented Combs.
Pacifica Companies is a San Diego-based diversified real estate group with $3 billion in assets.
Based in Newport Beach, California, Doug Wetton Properties, Inc. currently owns and manages more than 20 multifamily projects in Southern California.
HFF (Holliday Fenoglio Fowler, L.P.) and HFFS (HFF Securities L.P.) are owned by HFF, Inc. (NYSE: HF). HFF operates out of 22 offices nationwide and is a leading provider of commercial real estate and capital markets services to the U.S. commercial real estate industry. HFF together with its affiliate HFFS offer clients a fully integrated national capital markets platform including debt placement, investment sales, equity placement, advisory services, loan sales and commercial loan servicing. For more information please visit www.hfflp.com or follow HFF on Twitter at www.twitter.com/hff.
Holliday Fenoglio Fowler, L.P., acting by and through Holliday GP Corp., a real estate broker licensed with the California Department of Real Estate, License Number 01385740.