By Jack Stubbs
New York-based Blackstone Group, one of the world’s leading investment firms, recent made moves to expand its Puget Sound region portfolio. On June 6th, Blackstone spent $93 million, or approximately $206,666 per unit, to acquire the River Trail Apartments in Puyallup, Pierce County records show. The seller of the property was American Capital Group Inc., a Bellevue-based real estate company that designs, develops, builds, acquires and manages multifamily real estate. The transaction was recorded on June 10th.
The three-story River Trail Apartments property, located at 1617 E. Main Ave., was built in 2005 and contains 450 units, according to the listing on apartments.com. River Trail offers a mix of one- and two-bedroom units that range from 786 to 1,074 square feet, according to the property’s web site. The units include patio/balcony and walk-in closets, among other amenities. Some of the community amenities available to residents include a fitness center, covered parking, and club house.
The location of the property, which sits adjacent to the Linden Golf and Country Club and just south of the Puyallup River, is one of its main draws, according to the web site. River Trail is proximate to several dining amenities in downtown Puyallup, including HG Bistro and Crockett’s. Additionally, the apartment complex is approximately twenty minutes from Tacoma Mall and less than an hour south of downtown Seattle.
The property also offers convenient access to various transit routes, sitting adjacent to the 409 Line for the Pierce Transit public bus system route and is less than two miles from the Sumner Sounder Station, which offers riders access to the surrounding communities of Everett, Lakewood and Seattle.
Founded in 1985, Blackstone Group seeks to create positive economic impact and long-term value for its investors, the companies it invests in, and the communities in which it works, according to the company’s web site.
Earlier this year, Blackstone Group made another purchase, which was an office acquisition in the Snohomish County city of Bothell. In late January, the company spent $51 million, or roughly $292 per square foot, to acquire the two-building, 174,546-square-foot Class A Canyon Pointe office campus.
Operating in ten states across the Western U.S. and founded in 1986, American Capital Group (ACG) has more than $800 million worth of assets under management and has developed more than 80 multifamily residential properties, according to the company’s web site. By applying more than 30 years of experience across the multifamily sector, ACG’s property management and asset management teams look to enhance the performance of its assets through operational excellence and successful customer service.
The company’s Puget Sound region includes eight other multifamily properties throughout the Puget Sound region. Some of these include the 156-unit Dakota Apartments in Lacey; the 200-unit Meadows Apartments in Tacoma; and the 224-unit Woodland Apartments in Olympia.
The city of Puyallup has not seen too many multifamily sales over the last couple of quarters. In late 2018, however, the 256-unit Deer Creek Apartment Homes—located at 6117 112th St. E.—sold for $48.5 million, or about $189,453 per unit, with Seattle-based Goodman Real Estate acquiring the property from Los Angeles-based Lowe Enterprise Investors.