PHOENIX and SAN DIEGO – December 18, 2019 – Berkadia today announced the sale and financing of The Bungalows on Olive, a 153-unit garden-style multifamily property in Peoria, Arizona that opened in 2018. Senior Managing Directors Mark Forrester and Ric Holway and Senior Director Dan Cheyne of Berkadia’s Phoenix office completed the sale on behalf of the seller, 83rd Ave & Olive LLC.
The buyer was Silver Star Real Estate, which is based in Orange County, California and headed by Sunny Dharod. The Bungalows on Olive is Silver Star’s first multifamily acquisition outside of California; this acquisition brings their current portfolio to 38 properties. Associate Director Tom Wolff of Berkadia’s San Diego office secured $23.85 million in senior loan proceeds from Freddie Mac on behalf of the buyer. The deal closed on December 10.
“Bungalows on Olive is a premium horizontal single-family rental community convenient to the significant and growing multifamily demand generators in the western suburbs of metro Phoenix,” said Forrester.
“Many lenders have recently warmed up to the detached rental housing model, which allowed us to deliver a wide menu of capital options to the buyer,” said Wolff.
“At the end of a competitive lending process, Freddie Mac provided excellent terms that met our client’s needs.”
Bungalows on Olive is a single-story, low-density site. The property is located at 8201 W Olive Ave. and features one-, two- and three-bedroom floor plans with quartz counter tops, stainless-steel appliances, 10-foot ceilings, hardwood-style flooring, walk-in closets, full-size in-unit washers and dryers and private backyards. Community amenities include a resort-style swimming pool, an outdoor area with fireplaces and covered parking and garages. Residents have immediate access to 83-acre Pioneer Regional Park and are close to numerous job concentrations and attractions, such as Westgate and the State Farm Stadium, home of the Arizona Cardinals. The property also offers convenient access to the Metro Phoenix freeway system.