Saturday, October 22, 2016

L5 Investments and Alamo Equities Partnership Completes $14.25 Million Acquisition of 200-Unit Apartment Community in Sparks, NV

Marina Gardens Apartments, 550 Howard Drive, Sparks, NV

Laura Cathlina
Sparks, NV -– A partnership between L5 Investments and Alamo Equities has acquired Marina Gardens Apartments, a 200-unit apartment community, for $14.25 million in Sparks, NV. The property is situated on 11.78 acres and is located at 550 Howard Drive.

The partnership is planning to add value to the property by investing nearly $4 million for needed updates and upgrades in order to better meet the demand of local renters. It will also be re-branded and re-named Marina’s Edge within the next few months.

Built in 1973, Marina Gardens is a garden-style, pet-friendly community featuring 31 two-story buildings comprised of a total of 60 one-bedroom units, 100 two-bedroom units, and 40 three-bedroom units that include private balconies or patios, walk-in closets, and full kitchens. On-site amenities include three laundry rooms, barbeque areas, two playgrounds, and approximately 278 parking spaces.

Kenneth Blomsterberg
The property is less than one-half mile north of Interstate 80 and is one block from Sparks Marina Park, which includes a 77-acre lake and a number of recreational activities.

The community is also easily accessible to the Tahoe Reno Industrial Center, a 107,000-acre park with a 30,000-acre industrial complex that is under phased development. It is slated to be the world’s largest manufacturing industrial park and is creating tremendous job growth for the Reno-Sparks market – upwards of 50,000 jobs could be created by 2017. 

“Marina Gardens is a perfect fit for L5’s value-add investment strategy,” said Michael Flaherty, founder and CEO of L5 Investments, a Northern California-based multifamily investment firm.

 “It is well-located in an explosive growth job market and provides us with the opportunity to add significant value by improving overall management; resolving significant deferred maintenance issues; and adding features and amenities that will attract renters seeking a quality rental living environment.  We hope to continue to add similar, multifamily assets in Reno to our portfolio.”

The new ownership plans on implementing upgrades to all 200 units that will include in-unit washer and dryers; upgrades to landscaping; and introducing new branding and signage. Additionally, the property will be professionally managed by FPI, one of the largest property management companies in the nation. FPI also has a strong track record and presence in the greater Reno area.

Jeremy Cline

"Putting all the incredible and exciting market fundamentals aside, we just really liked the Sparks Marina location,” said Jeremy Cline, president and co-founder of Alamo Equities, a Bay Area investment firm. 

“So no matter what happens with the local economy, we think there will always be a strong demand to live in a cool, edgy apartment community that will provide beach cruisers and paddle boards to its tenants."

Sparks is located in the northwest portion of the state, east of Reno and about six miles from the Reno Airport. The Reno-Sparks region has been rapidly growing as large companies, including Tesla, Amazon, Apple, and SuperNAP choose bring operations to the market.

These businesses are spurring a wave of new businesses centered in technology, distribution, warehousing, and manufacturing. Tesla is currently underway with construction of its “gigafactory,” a 5.8 million-square-foot battery manufacturing facility considered to be the second largest building by volume in the world.

Michael Flaherty
Additionally, SuperNAP has made Reno-Sparks its new home and is constructing a $1 billion, 3 million-square-foot campus which is slated to be the world’s largest data center of its kind.

Laura Cathlina of Berkadia arranged the debt on behalf of the ownership. Kenneth Blomsterberg of Marcus & Millichap brokered the transaction on behalf of both the buyer and the out of state sellers, RAF, LLC and BDS, LLC, that owned the property since 2001.

For a complete copy of the company’s news release, please contact:

Darcie Giacchetto

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