UBS Sells Two North Bay Apartment Communities for $153MM

Eastdil Secured, CBRE, MG Properties, The North Pointe, The Lodge at Napa Junction, American Canyon, Vacaville, UBS Realty Investors
North Pointe

By Vladimir Bosanac

UBS Realty Investors has just sold two apartment communities it owned in the North Bay cities of Vacaville and American Canyon for a combined $153 million. The two properties combined have 528 units that range from one- to three-bedrooms, and they were constructed between 2004 and 2006.

The Lodge at Napa Junction is located at 5500 Eucalyptus Dr. in American Canyon. The 216-unit property was constructed in 2006 and today is considered a C+ property. This community sold for roughly $67 million or around $310,000 per door, according to sources familiar with the details of the transaction. The buyer had not been identified the source at the time of this reporting, but it was confirmed that it was not the same one as the buyer of the other complex.

The community is around 80 percent occupied, according to industry reports shared with The Registry. UBS had acquired the property in 2006, when it paid $49,850,000, or $230,787 per door. The seller at the time was Fairfield Residential.

Eastdil Secured, CBRE, MG Properties, The North Pointe, The Lodge at Napa Junction, American Canyon, Vacaville, UBS Realty Investors
The Lodge at Napa Junction

The Lodge sits on a 10-acre site, and the apartment complex is spread across 9 buildings. There is a fitness center, business center and a clubhouse at the development, as well as a swimming pool and spa.

The North Pointe community in Vacaville is a 312-unit apartment development that sold for $87 million, or $275,000 per door, according to people familiar with the details of the deal. San Diego-based real estate investor and operator MG Properties was the buyer. The property is located at 6801 Leisure Town Road, and it is considered a B class apartment community.

The apartment community was built in 2004 and is situated on 18 acres that offer a diverse mix of one-, two- and three-bedroom units that average nearly 1,050 square feet and feature 9′ ceilings and full-size washers and dryers. Amenities include a leasing center, separate clubhouse, fitness center, business center, movie theater and a heated pool and spa. MG Properties Group plans to upgrade unit interiors and enhance common area amenities, according to a statement from the company.

According to Mark Gleiberman, MG’s chief executive officer, “Northern California’s strong economy continues to drive opportunities for acquisitions in the region. We are pleased to further grow our Northern California portfolio and are looking forward to improving the living experience at North Pointe for our residents.”

MG Properties completed the purchase with a $55.9 million Freddie Mac mortgage arranged by Brian Eisendrath and Cameron Chalfant of CBRE, according to a company statement. Neither responded to requests for comments.

The properties were brought to the market at the same time. UBS had worked with the Eastdil Secured Multifamily Team in finding the buyers and completing the transaction.

West Coast Commercial Real Estate News