TruAmerica Multifamily, a Los Angeles-based multifamily investment firm, has purchased two multifamily properties in Phoenix and Las Vegas in separate transactions totaling $142.1 million. The acquisitions were made in partnership with funds managed by Oaktree Capital Management.
Galleria Palms, a 424-unit multifamily property in the Phoenix submarket of Tempe, was purchased for $75.1 million. The property consists of one- to three-bedroom units on a 27-acre site. Community amenities include two swimming pools and spas, clubhouse and fitness center and other facilities.
TruAmerica and Oaktree also acquired Aviata, a 456-unit multifamily property in the Las Vegas submarket of Henderson/Paradise Valley, in an off-market transaction for $67 million. Built in 1998, Aviata offers a mix of one- and two-bedroom units, with amenities including central heating and air conditioning, full-size washers and dryers as well as walk-in closets.
“We have been cultivating a relationship with Oaktree for some time, and these two acquisitions are the result of our shared vision,” said Noah Hochman, Senior Managing Director of Capital Markets for TruAmerica. “It was a pleasure to work side-by-side with their team, and we plan to pursue other investments together in the near future.”
Under the direction of Amir Eshkol, senior managing director of capital improvements, TruAmerica plans to undertake a capital improvement program on both properties, including upgrading unit interiors, renovating community amenities, including pool areas and clubhouses, and refreshing the exteriors.
The DI Wire reported that TruAmerica and Oaktree Real Estate Income Trust, a publicly registered non-traded REIT, teamed up in April to purchase a 448-unit multifamily property located near Atlanta for an undisclosed price.
In addition, Real Assets Advisor reported this week that TruAmerica purchased another Las Vegas multifamily property, Allanza at the Lakes, in a joint venture with an unnamed institutional capital partner. The $152-million purchase was purportedly the largest single multifamily asset transaction in Nevada history. Allanza was built in 1986 on 40 acres and is comprised of one-, two- and three-bedroom units in 56, two-story buildings.
TruAmerica Multifamily is a vertically integrated, value-add multifamily investment firm founded in July 2013 as a joint venture between Robert Hart and The Guardian Life Insurance Company of America. TruAmerica manages a $7.2 billion portfolio of approximately 34,000 units throughout Northern and Southern California, Washington, Oregon, Colorado, Arizona, Nevada, Utah, Maryland and Florida.
Oaktree specializes in alternative investments and has $121 billion in assets under management as of March 31, 2018. The firm emphasizes an opportunistic approach to investments in credit, private equity, real assets and listed equities.