Los Angeles, California | August 18, 2017
Apartment Income Investors (Aii) is pleased to announce the sale of Parkside Place Apartments, a 321-unit apartment building located in Pasadena, Texas, a suburb of Houston Texas.
Aii acquired the property in October 2014 in an off-market transaction, through an existing broker relationship. The property had strong in-place cash flow with substantial upside. Aii saw the opportunity to improve property operations and increase rental rates while improving the common area and systems such as pools, parking and plumbing.
Aii implemented a business plan to improve operational efficiency and increase rents closer to market. The Aii team improved the overall property condition and enforced the Community Rules and Guidelines to improve exterior appearance and attract high-quality tenants. Aii replaced common area light fixtures with LED, energy-efficient and long-lasting fixtures. The meters supplying these fixtures used 30% less electricity―an enhancement benefiting the environment while increasing Net Operating Income and the value of the property.
Michael Chesser, Founder and President of Aii, said, “Parkside Place is an example of the Aii team using environmentally friendly solutions to improve operations and increase property values, resulting in an improved community for our tenants and substantial profits for our investors.”
Aii sold at a premium price due to positive operations, strong cash flow and the position of Parkside Place as the highest-quality choice for tenants within the submarket. For more information, also see this case study describing how the Parkside Place investment exemplifies Aii’s investment process.
About Apartment Income Investors
Founded in 1994, Apartment Income Investors (Aii) has a proven track record of buying underperforming Class B multifamily and commercial properties and implementing renovation and repositioning strategies to improve operations and substantially increase the value of each property. This strategy has proven successful through several real estate cycles with above-average returns to investors. The company's goal is to transform homes, lives and communities while delivering superior investment returns.