Reno, NV. (October 7, 2020) – Leading real estate professional services and investment management company Colliers International recently facilitated the sale of The Silver Ridge Apartments in West Reno. The sale represents one of the largest value-add opportunities to trade in the Reno-Sparks market in the past decade and the first time in a generation that the property has been sold. Kalah Espinoza, vice president with Colliers’ San Francisco-based Multifamily Investments Team, and Melissa Molyneaux, executive vice president with Colliers’ Reno office, represented the private seller and procured the institutional buyers in the transaction. The property closed escrow on September 30 and sold for $64,000,000 ($213,333 per unit).
“We are proud to have played a role in this monumental sale for Reno,” said Espinoza. “It was our pleasure to facilitate on behalf of the seller and buyers.”
Originally constructed in 1990, Silver Ridge offers a mix of one-bedroom, two-bedroom and three-bedroom townhouse units and averaging approximately 1,000 square-feet. Located at 1555 Sky Valley Road, the property’s 300 units are contained in 295,840 square-feet and spread out over 20 acres. This garden-style multifamily asset offers low-density living with immediate proximity to downtown Reno and has entitlements in place to allow for an additional 70 units to be constructed within the existing site-plan.
A partnership between California-based multifamily investors, IDEAL Capital Group and Tilden Properties, purchased the property.
Director of Acquisitions for IDEAL Capital Kevin Conway explains, “Silver Ridge is a remarkable asset that is prime for value-add repositioning. Our $7,300,000 renovation scope will focus on rehabilitating the unit interiors, adding new common-area amenities and repurposing certain underutilized facilities. We aim to significantly enhance the resident experience and deliver superior returns to our investors.”
Reno’s resurgence has been driven by technology and manufacturing companies that have either expanded or entered into the market. Technology giants Apple, Google and Tesla have invested billions of dollars into the region, dramatically influencing its growth trajectory. Reno and the surrounding areas provide a lower cost of living, multiple tax advantages and impressive technology infrastructure, making it attractive to both businesses and employees. The area’s employment diversity has helped to greatly minimize COVID-related delinquency, maintain occupancy and create overall market stability.
“Reno continues to be one of the fastest growing technology hubs on the West Coast despite the economic uncertainty the pandemic has caused over the past six months,” said Espinoza. “We’re seeing that investor demand is still strong in non-rent-controlled markets and long-term investors are still looking to deploy additional capital into one of the safest assets classes during any market–stabilized multifamily investments.”
About Colliers International
Colliers International (NASDAQ, TSX: CIGI) is a leading real estate professional services and investment management company. With operations in 68 countries, our more than 15,000 enterprising professionals work collaboratively to provide expert advice to maximize the value of property for real estate occupiers, owners and investors. For more than 25 years, our experienced leadership, owning approximately 40% of our equity, has delivered compound annual investment returns of almost 20% for shareholders. In 2019, corporate revenues were more than $3.0 billion ($3.5 billion including affiliates), with $33 billion of assets under management in our investment management segment.