Tides on 40th is a 43-unit multifamily property located in the “Arcadia Lite” submarket of Phoenix, Arizona. The property is comprised of block construction and has a master chiller for air conditioning and boiler for hot water. The asset was completely repositioned and rebranded by the seller between 2017 and 2018, which included new exterior paint, landscaping, and signage throughout the project, as well as a programmatic interior renovation package for the units that offers tenants new vinyl plank flooring, quartz countertops, and shaker cabinets and vanities.
Tower Capital’s client, an experienced, local, multi-family investor, acquired the property utilizing the Fannie Mae Green loan program which provided a 4.02% non-recourse loan, fixed for 12 years, and based upon a 30-year amortization schedule.
The borrower plans to continue to increase the properties value through additional interior unit upgrades in the bathrooms, as well as create over 30% energy savings by replacing the boiler and chiller systems, as well as installing programmable digital thermostats, more energy efficient lighting, shower heads, and faucet aerators, to name a few.
