Jeanne Hasenmiller (602) 714-9338
Condo Capital Solutions to invest up to $200 million in Arizona real estate
Denver-based firm to add condominium and apartment buildings to portfolio
PHOENIX, Ariz. – April 26, 2010 –Condo Capital Solutions, a Denver-based real estate turn-around company that focuses on acquiring distressed condominium and apartment projects, plans to invest between $150 to $200 million in real estate in the greater Phoenix area in the next 24 months, according to principal Peter Wells.
Condo Capital Solutions (CCS) plans to add to its portfolio in Arizona, where it already owns four condominium projects, including Bridgeview Condominiums in Tempe, Corriente Residences in Scottsdale, Boulder Canyon at La Reserve in Oro Valley and Rio del Sol in Tucson.
“Our strategy is to invest $150 to $200 million in Arizona’s distressed condos and apartment buildings,” said Wells. “But ultimately it comes down to finding the right deals.”
Wells said that while homes prices have experienced a 40 percent decline, he believes the market is at the bottom or very close to it.
“Although Phoenix has seen one of the most drastic losses in property values in the country, we believe that the Phoenix market will make a relatively quick recovery,” said Wells about the CCS’s interest in the Arizona real estate market.
“We’re not too focused on hitting the absolute bottom of the market; we’re focused on the macro. If there are deals that make sense today, we’re interested in them,” he added.
CCS looks at the product, location, price and projected returns when evaluating condominium opportunities, according to Wells.
“We anticipated the market down turn and started moving to a cash position in late 2005,” Wells said. “We are very liquid and can make quick decisions.”
Bridgeview Condominiums, a 104-unit project on the south shore of Tempe Town Lake, is one of the projects CCS acquired in September 2009. The firm purchased the 64 remaining available units in the building, which opened in January 2008.
“We choose Bridgeview because of its location,” added Wells. “It is simply good real estate. Everything about Bridgeview made it a solid investment. Where else can you find a luxurious lakefront, high-rise condo in the middle of the desert?”
Wells sited the proximity to downtown Phoenix, Sky Harbor Airport and downtown Scottsdale as some of the reasons that make Bridgeview Condominiums a first-rate real estate investment opportunity. Additionally, Arizona State University’s main campus is in Bridgeview’s backyard, which adds to the condo’s investment appeal.
The previous owners had no sales in 2009 prior to the purchase by CCS. Since the acquisition in September 2009, CCS has reduced the Bridgeview prices up to 50 percent and has reported 10 sales.
Bridgeview Condominiums is located on the only urban lakefront location in Arizona, situated on the south shore of the 224-acre Tempe Town Lake. Each waterfront condominium provides breathtaking views from around the Valley including the Phoenix skyline and the surrounding McDowell Mountains, Piestewa Peak, Four Peaks, Estrella Mountains and Arizona’s landmark Camelback Mountain.
The lake is surrounded by 2.5-miles of walking, hiking and biking trails along Tempe Town Lake.
“Today’s buyers of the units at Bridgeview are not only getting a wonderful place to live, they are making a wise investment at or near the bottom of the market,” added Wells.
In terms of ideal apartment investments, Wells says they are looking to buy and hold for the long-term. CCS is looking for Class A and B apartment projects no older than the mid-1990s, in the range of $10 million and up.
“We’re looking to start the apartment acquisitions optimistically late this year, with most of the deals happening in 2011 and in 2012,” Wells said.
About Bridgeview Condominiums
Bridgeview features a seven-story tower on the north side connected to a 12-story tower on the south. Bridgeview contains units ranging in size from 1,168 to nearly 5,000 square feet.
One, two and three bedroom residences and penthouse homes are still available and priced from the $350s to $1.8 million.
To experience lakefront, luxury living, call broker Katie Williams for a private tour of Bridgeview Condominiums, call 480.966.LAKE (5253) or visit www.BridgeviewAZCondos.com
About Condo Capital Solutions
Denver-based Condo Capital Solutions (CCS) specializes in investing in distressed real estate with a focus on condominium and apartment projects. The company has developed a portfolio approaching 40 communities nationwide, including projects in Arizona, Colorado, Florida, Texas, Utah and Wyoming.
For more information, please visit www.condosolutions.biz.