Blackstone Unloads 304 Units in SoCal for $204M

The deal pencils out to $671,052 per unit.

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Blackstone has closed a major multifamily sale in Southern California’s Inland Empire.

The behemoth investment firm sold the Metro 3610 Apartments in the city of Riverside for $204 million. With 304 units, the deal pencils out to a whopping $671,052 per unit.

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Records show an entity tied to Friendly Franchisees Corporation acquired the property at 3610 Banbury Drive, at the northwest corner of Tyler Street and Riverside Freeway. The complex was built in 1984 with 233,584 square feet in 22 buildings over 15.2 acres.

As the exodus from cities continues, more and more Californians have landed in the suburban regions of the Inland Empire east of Los Angeles County, where population growth has remained strong since the pandemic hit. This has driven up investment prices for apartment properties. According to Avison Young’s second quarter multifamily report, the asking rate in the Inland Empire — which includes Riverside and San Bernardino counties — reached about $1,900 per per month, with an average vacancy rate of 2.7 percent. 

Other multifamily deals in the Inland Empire this year include MAG Capital Partners’ acquisition of a 55-unit community in Ontario for about $434,545 per unit; FPA’s sale of a 142-unit property for about $321,127 per unit; Greystar’s acquisition of an age-restricted community with 264 units in the city of Rancho Cucamonga for about $367,424 per unit; and Clear Capital’s acquisition of a 232-unit asset in the city of Upland for $353,448 per unit.

Gregory Cornfield can be reached at gcornfield@commercialobserver.com.