By JV Capital Staff
Tower 16 Capital Partners has purchased The District at Grand Terrace, a 352-unit multifamily project in Colton for $63 million. The project was acquired on an off-market basis from FPA Multifamily. Tower 16 will oversee $4 million in renovations and upgrades to the project including new outdoor amenities, an upgraded leasing office and interior renovations.
“From a macro perspective, our firm has been targeting the Inland Empire, which has experienced some of the strongest job growth in California over the past several years, primarily driven by the logistics and heath care sectors,” says Tyler Pruett, Principal at San Diego-based Tower 16 Capital Partners, a commercial real estate investment firm.
The District at Grand Terrace features one-, two- and three-bedroom apartments with covered parking and private balconies or patios, four pools, a fitness center, two laundry facilities, two playgrounds and a leasing office.
“Conversely from a supply perspective, the delivery of new multifamily product across the region has been extremely limited. For these reasons, we think the market fundamentals will remain strong for workforce housing in the region,” says Pruett.
The District at Grand Terrace is located at 1315 S Meadow Lane Colton, within five miles of downtown Riverside and Loma Linda/Redlands. The apartment complex is located near the I-215 freeway and the Loma Linda University Medical Center.
“With respect to the Colton submarket and the subject property, we were attracted to its location and proximity to employers in Riverside, San Bernardino and nearby Loma Linda/Redlands,” says Pruett. “Specifically, the Loma Linda University and Medical Center is located three miles to the east of the property and three Amazon fulfillment centers are within seven miles of the property.”
Alliance Residential, a national multifamily real estate management firm, will take over as property manager. Representatives from Institutional Property Advisors represented both the buyer and seller in the transaction and CBRE’s Capital Markets team in San Diego handled placement of the financing on behalf of Tower 16.
The project is the firm’s sixth acquisition in the last 12 months, having acquired over 2,000 units and it is the second purchase in Southern California’s Inland Empire region.