By Jack Stubbs
San Diego, California-based MG Properties Group recently made a move to expand its residential portfolio.
On Wednesday, November 29th, the company acquired the Newberry Square apartments for $33.8 million, or roughly $274,797 per unit, according to public records filed with King County. MG Properties specializes in the acquisition, development, rehabilitation and management of apartment communities throughout the western U.S. Fairfield Residential, the seller of the apartment complex, operates and manages residential properties nationwide.
The 4-story Newberry Square Apartment complex was built in 2005 and contains 123 units, according to the property listing on apartments.com. The property offers a mix of one-, two- and three-bedroom units. The one-bedroom units range from 650 to 780 square feet and rent for between $1,550 and $1,955, and the two-bedroom units total between 918 and 945 square feet with rents ranging from $1,770 to $2,185. The largest units total 1,221 square feet, with rents between $2,165 and $2,695. Some of the prominent in-unit amenities include stainless steel appliances, a fireplace, walk-in closets and attached patio or balcony. Residents at the complex have access to a conference room, fitness center and an on-site property manager, among other services.
Located at 16116 Ash Way, the property is roughly four miles to the northeast of Lynnwood and eight miles to the north of Bothell. Additionally, the complex is roughly 1.5 miles from access to the intersection of Interstate-405 and Interstate-5. Newberry Square sits in close proximity to several other apartment complexes: the 383-unit Tivalli Apartments and the 395-unit Urban Center Apartments are less than half a mile to the north, and the 491-unit Avalon Alderwood Apartments sits a mile to the east.
Founded in 1992, MG Properties Group focuses on apartment investments nationwide, with assets in Southern California, Phoenix, Tucson, the San Francisco Bay Area, Las Vegas, Reno, Portland and Seattle. MG Properties’ primary strategy is to reposition underperforming or value-add residential communities by renovating apartment communities to their highest potential, according to the company’s web site.
Since its inception, MG Properties Group has acquired and managed more than 140 properties totaling over 20,000 units. Currently, the company manages over 14,000 apartment homes in over 55 communities in cities including California, Arizona, Nevada, Washington and Oregon, accord to its web site. Some of the company’s other residential assets in the Puget Sound region include the 321-unit Reunion at Redmond Ridge Apartments, and Mosaic Hills, a 367-unit property in Kent. MG Properties has been active in the residential market in recent weeks: on November 7th, the company acquired the 4-story 349-unit Beaumont Apartments in Woodinville for $99 million from Guardian Life Insurance Company of America.
Fairfield Residential, founded in 1985, manages 44,000 units nationwide across a wide variety of asset types including luxury new construction and renovated apartment homes in urban and suburban infill neighborhoods, as well as tax credit affordable housing properties, according to the company’s web site. The company provides a wide array of multifamily real estate services including development, construction, renovation, acquisition and property management, according to the its web site. In the Puget Sound region, Fairfield has assets in Everett, Federal Way and Renton.