MG Properties Acquires Terracina Apartments in Calif. for $95M
- Feb 12, 2013
By Keith Loria, Contributing Editor
MG Properties Group, a San Diego-based private real estate investor, has purchased the Terracina Apartments, a 736-unit multifamily property located in southeast Ontario, Calif., for $95 million from Colorado-based seller Archstone.
The acquisition, which amounts to $103,825 per unit, was made in partnership with Rockwood Capital. Institutional Property Advisors, a multi-family brokerage division of Marcus & Millichap, represented the buyer in the transaction. Cushman & Wakefield represented the seller.
“We have been invested in the Inland Empire for more than a decade and believe in its economic potential to outpace much of California during the next decade,” Justin Smith, MGPG’s senior vice president of investments, said in a prepared statement. “We expect Terracina to benefit from renewed job growth driven by strengthening economic performance, an effect that we are already beginning to see in our regional portfolio.”
Located at 3303 South Archibald Ave., near the Ontario Mills shopping mall, the apartment complex is within proximity of the LA/Ontario International Airport and within 10 minutes of Ontario’s industrial/warehousing district, which is a major local employment center.
The 41-acre community was built in 1988 and is one of the largest apartment complexes in the Inland Empire.
“Terracina Apartments’ prime Ontario location provides residents with access to major employment centers in Los Angeles and Orange, San Bernardino and Riverside counties,” Kevin Green, a director at IPA, said in a statement. “Renewed job growth in these areas places the property in an excellent position to experience high occupancy and increased revenue.”
According to Smith, MGPG plans to invest in Terracina’s common areas, grounds, and buildings, providing additional amenities and improving the living experience for residents. The company plans moderate interior renovations on a portion of units.
Since December 2010, MGPG has completed 17 apartment acquisitions totaling 4,421 units at a value of more than $500 million. According to a company release, MGPG anticipates closing an additional $200 million in acquisitions within the next 12 months.
Like us on facebook: https://www.facebook.com/pages/Commercial-Property-Executive/258033884191