21655 N. 36th Ave Glendale, AZ 85308

The Opportunity

  • In 2014 Loewen acquired 28 units of the gated Portales Townhome community in Glendale, Arizona from a bank as an REO. The project had begun in 2007 and was half completed when hit by the market crash.
  • 11 of the units were built in 2007 and needed a remodel to bring about a more current look. 17 of the units were only framed and needed full interior/exterior construction completion.
  • The asset was owned by the bank, who could not finish the construction or manage the disposition of the all the units. Thus, was the property acquired at a substantial discount
  • The property is located just a few miles from the I-17 and 101 interchange. This area is experiencing tremendous growth and expansion from several major employers.

Value-Add Strategy

  • Full remodel of the existing 11 units. The construction of 17 units started in 2007.
  • A $1.3 million renovation/construction budget includes both interiors and exteriors.
  • The business plan was to rehab existing units and finish all construction of partially developed units and bring up to current standards, thus taking advantage of the market turn-around.
  • Project was held over 22 months.