US real estate investors CIM Group and Tides Equities have joined forces to buy the Del Mar Terrace apartment community in Phoenix, Arizona from Northmarq in a $255m (€220.3m) deal.

Del Mar Terrace, a 1,012-unit apartment community, is the largest market-rate apartment community, based on unit count, in the greater Phoenix area. The sale price represents the second-largest, single asset, multifamily sale in Arizona history.

Built in 1985, Del Mar Terrace has 48 two-story buildings, spread across a 35-acre site in Phoenix’s Maryvale submarket.

The new owners intend to rebrand the asset as The Tides on 71st and invest $19m as part of an improvement plan to renovate and upgrade the property.

Shaul Kuba, co-founder and principal at CIM Group, said: “CIM Group is actively acquiring well-located apartment communities in growth markets with strong demographics, and nearby retail, entertainment and recreation amenities such as Del Mar Terrace.

“This is an established community where we will invest in a programme of improvements that will benefit current and future residents.”

Ryan Andrade, the co-founder and principal at Tides Equities, said: “As the largest fully market-rate property in Arizona, Del Mar Terrace provides Tides Equities and CIM immediate scale in a submarket that continues to see exceedingly strong rent growth and upward trajectory.

“Procured off-market from the original developer in 1985, Del Mar Terrace is in uniquely classic condition and is primed for a full Tides rebrand and transformation.”

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