The 115-unit class A units, located (contrary to its moniker) at 412 E. Broadway, was originally built as for-sale condominiums back in 2009.
Walker & Dunlop, Inc.'s property sales team, which included Hunter Combs and Blake Rogers, handled the transaction for both buyer Ron Nasch and seller Essex Property Trust.
Walker & Dunlop also arranged Fannie Mae acquisition debt on behalf of the buyer. Brian Eisner and Levi Brooker led the team on this financial service.
The 416 on Broadway apartments, which feature large floor plans, averages 1,102 square feet per unit. In addition to spacious apartments, the site offers an abundance of outdoor amenity space, including convenient access to the retail, entertainment, and dining environment of downtown Glendale.
Combs said in a statement that “416 on Broadway is a best-in-class asset located in the durable Glendale submarket. Although Glendale has seen an increase in multifamily inventory of about 11 percent since 2010, it has been able to consistently achieve occupancy rates north of 96 percent, as well as meaningful rent growth.”
Combs added, “From a sale perspective, the submarket has only seen six institutional multifamily sales since 2009, adding a scarcity premium to opportunities that arise (and) the lack of supply headwinds is particularly encouraging.”
Comparable recent transactions in the proximity of the Glendale submarket include the sale of 1840 N. Kenmore Ave., a 72-dwelling establishment in Los Feliz that fetched $37.6 million in September; 535-547 S. Kingsley, a 72-apartment Koreatown complex which scored $32.4 million in July; and the 60-unit 221 N. Cedar St. in Glendale, which in February traded for $28 million. On a per-unit basis, those three sold for about $522,000, $450,000 and $467,000, respectively.
Maryland-based Walker & Dunlop, which is best known as a multifamily lender, has been growing its property sales group, with $5.4 billion in sales volume completed in 2019 and $3.3 billion completed year-to-date.