Press Release: Alliance Residential Acquires $160MM Waterfront Community in Coronado, Calif.
PHOENIX (Dec. 4, 2013) — Alliance Residential is pleased to announce its acquisition of Coronado Bay Club, a 549-unit, garden-style apartment community located on the water in Coronado, Calif., an affluent “island” adjacent to downtown San Diego. The deal was brokered by Jones Lang LaSalle on behalf of LaSalle Investment Management. Alliance’s JV partner in the transaction is a large institutional pension fund investor with MetLife Real Estate Investors serving as lender.
“With our $160MM+ purchase of Coronado Bay Club this week, Alliance’s Southern California region is continuing our tremendously quick start out of the gate this cycle,” says Drew Colquitt, Alliance’s Managing Director for acquisition, development and construction in Southern California. “We were staffed strategically coming out of the recession and in a solid position to purchase well-located multifamily development sites at discounted prices, as well as undertake several early-cycle development starts and value-add acquisitions.”
Situated on a 13.9-acre site at 1515 Second Street, Coronado Bay Club is on the bay near the renowned Hotel Del Coronado and Coronado Beach. In addition to sweeping views of downtown San Diego, the Coronado Bay Bridge and San Diego Bay, the community features an 18,000-square-foot clubhouse, meeting rooms, business center, catering kitchen, media room, on-site beauty salon, tennis courts, state-of-the-art fitness center, resort-style pool and spa, saunas and locker rooms, dog park, picnic area with grilling stations and garage parking.
Including this recent high-profile acquisition, Alliance’s Southern California region has acquired, commenced construction, completed or contracted for 13 projects with a total capitalization of roughly $1 billion during the current real estate cycle. The company has a unique 100-percent closing ratio on properties placed under contract, and is looking to further expand its market share in the region. Specifically, Alliance is looking at several new opportunities to commence in 2014.
Overall, Alliance has a distinct reputation for high-quality projects, and the Southern California office has received national and international awards for multiple projects. Multifamily Executive magazine named Hollywood-located La Belle as the Grand Winner for Mid-Rise Project of the Year, as well as the recipient of the Editor’s Choice award. La Belle also received a silver award for multifamily design in The Nationals. Hollywood Tower, also based in Hollywood, received awards for Renovation Project of the Year (Multifamily Executive magazine), Best Conversion/Repositioning of a Multifamily Asset (NAHB Pillars of the Industry awards) and Multifamily Housing Project over Six Stories (Gold Nugget Awards). Just last month, Glendale, Calif.-based Icis was announced as Mid-Rise of the Year in the NAHB Pillars of the Industry awards competition. Earlier this year, Icis was also recognized as a winner in the leisure, entertainment and retail category of the IIDA Calibre Awards.
Thanks to Alliance’s ability to self-perform as general contractor for all of its projects and its in-house property management platform, Alliance benefits from numerous competitive advantages, and has a strong appetite and available capital for additional development sites.
Company Information: Alliance Residential Company
Alliance Residential is a fully integrated multifamily real estate operating company focused on the development, acquisition, construction and management of residential and mixed-use communities in the United States. Headquartered in Phoenix, Alliance has 26 regional offices divided among six regions throughout the U.S. Over the past 13 years, Alliance has become one of the largest developers and private apartment owners, and the 10th largest management company in the nation, with a $9.0+ billion portfolio and 67,000 units in 26 metropolitan markets. Alliance has a presence in 17 states (including Arizona, California, Colorado, Florida, Georgia, Maryland, Nevada, New Mexico, New York, North Carolina, South Carolina, Oregon, Texas, Utah, Virginia and Washington D.C.) and is actively seeking management, development and acquisitions opportunities across the markets it serves.