HFF closes $5.65 million sale of and secures $3.95 million financing for San Diego County multi-housing community

Kenora Terrace apartments, 3541 Kenora Drive, Spring Valley, CA

Hunter Combs

SAN DIEGO, CA – HFF announced today that it has closed the $5.65 million sale of and secured $3.95 million in acquisition financing for Kenora Terrace, a 46-unit, garden-style multi-housing community in Spring Valley, California. 

               HFF marketed the property on behalf of Pacifica Companies.  Doug Wetton Properties purchased the property for $5.65 million.  HFF also secured a three-year, interest only acquisition loan on behalf of the buyer through a balance sheet lender. 

Kenora Terrace is located at 3541 Kenora Drive with nearby access to State Routes 94 and 125 and Interstate 8, which provide direct access to major employment centers in downtown San Diego and Mission Valley. 

Situated on 2.5 acres, the property totals 40,834 rentable square feet and includes 40 two-bedroom and six three-bedroom floor plans.  Built in 1979, 13 of the property’s units were partially renovated prior to the sale.  Community amenities include a playground, barbecue area and on-site parking.

The HFF investment sales team representing Pacifica Companies was led by director Hunter Combs.

               HFF’s debt placement team was led by senior managing director Aldon Cole.

Aldon Cole

               “Kenora Terrace presented a great opportunity for investors with its desirable location within Spring Valley, family-oriented unit mix consisting of large two- and three-bedroom units, and high occupancy (fully leased at closing) in a historically well-leased submarket. 

“ Per MarketPointe, the East County San Diego submarket has a 3.5 percent vacancy rate compared to the 4.6 percent vacancy rate for the San Diego Metro, as of September 2013.

“ Looking forward, Kenora Terrace’s submarket is forecast to have an average vacancy rate of 1.4 percent during the next five years according to Reis, lower than San Diego Metro (2.4 percent), the West (3.8 percent) and the nation (4.4 percent),” commented Combs.

Pacifica Companies is a San Diego-based diversified real estate group with $3 billion in assets.

Based in Newport Beach, California, Doug Wetton Properties, Inc. currently owns and manages more than 20 multifamily projects in Southern California.

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

Kristen M. Murphy

Associate Director

HFF | One Post Office Square, Suite 3500 | Boston, MA 02109

Main: 617-338-0990 | Direct: 617-848-1572 | Cell: 617-543-4873 | www.hfflp.com

krmurphy@hfflp.com