CBRE Handles Sale of Finisterra Apartments in South Tempe

CBRE negotiated the sale of Finisterra, a 356-unit multifamily community located in Tempe, Ariz. CBRE's Asher Gunter, Matt Pesch, Austin Groen and Sean Cunningham represented the seller. A commingled fund managed by Beverly Hills-headquartered Kennedy Wilson acquired the community. Troy Tegeler of CBRE Debt & Structured Finance arranged financing.

“South Tempe is a dynamic submarket with excellent demand drivers and strong underlying multifamily fundamentals,” said CBRE’s Groen. “Finisterra is located within walking distance of more than one million square feet of retail, including Costco, and the Downtown Tempe employment hub is a 15-minute drive from the community, making South Tempe a very desirable area to live.”

Located at 1250 West Grove Parkway, Finisterra features two pool and spa areas with gazebos and barbecue grills, a 24/7 fitness center, resident clubhouse and leasing center, outdoor picnic areas with grills and fire features and a dog park. Upgraded unit interiors include quartz countertops, stainless steel appliances, wood-style plank flooring and custom cabinetry.

Kennedy Wilson (NYSE: KW) is a leading real estate investment company with over $29 billion of assets under management in high-growth markets across the United States, the UK and Ireland, with a focus primarily on rental housing.

“Finisterra is a very appealing asset and provided the opportunity to acquire a well-located community with upside potential,” said a spokesperson from Kennedy Wilson. “We are proud to build on our long history of successful investments in Phoenix and continue to explore additional investment opportunities. Phoenix is one of the strongest markets for multifamily demand in the U.S. given the region’s outsized population and employment growth, and our bullish outlook for Phoenix places the market at the top of our target list.”

Phoenix posted the second-highest absorption of all U.S. markets in the first quarter, with approximately 7,500 units absorbed, according to data analyzed by CBRE.