Properties | Oaktree Apartments

Oaktree Apartments

A 148-Unit Value-Add Opportunity

22900 Oak Ridge Drive | Santa Clarita, CA

Sales Price: N/A

Units: 148

Price per Unit: N/A

Price per Sq. Ft.: N/A

Current CAP: N/A

Current GRM: N/A

Market CAP: N/A

Market GRM: N/A

Year Built: 1988

Lot Size Sq. Ft.: 203,860

Gross Bldg. Sq. Ft.: 161,103

Net Rentable Sq. Ft.: 143,861

Close of Escrow: 3/30/2018

THG Advisors, as the exclusive listing agent, is pleased to present the opportunity to acquire Oaktree Apartments, a 148-unit, value-add multifamily community located in Santa Clarita, California.

Built in 1988, Oaktree Apartments is comprised of eight residential buildings nestled on approximately 4.68 acres. The asset offers five desirable floor plans, including one-bedroom, one-bedroom  loft,  two-bedroom, and three-bedroom layouts averaging 972 square feet. The offering presents an opportunity to acquire a sizable asset in the sought-after Santa Clarita submarket that provides an opportunity to significantly increase revenue (projected 36%) through a comprehensive renovation strategy.

The apartment homes feature original finishes including white tile countertops, carpet flooring, black appliances, white cabinetry with stained wood trim, in-unit washer/dryers, fire-places, and spacious patios. The Property also features an amenity package that includes a pool and spa, fitness center, sauna, and BBQ grill area.

Located in City of Santa Clarita, which sits in the Santa Clarita Valley of Los Angeles, Oaktree Apartments benefits from impressive submarket fundamentals. The City boasts strong population growth (18.8% increase since 2000), low unemployment (4.9% in August 2017), low vacancy (3.4% in Q3 2017), and a median household income of $84,063 which is higher than almost all cities and counties in Southern California.

Given the strong submarket fundamentals, investors have the opportunity to complete a comprehensive renovation in a market where there is a major affordability gap to home ownership and a scarcity of new luxury apartment supply.

  • A sizeable (148-unit) multifamily housing community in Santa Clarita, California
  • Family owned & operated and has not sold in over 25 years
  • Presents a major value-add opportunity with 36% projected upside in rental income
  • Conveniently located near the 14 & 5 freeways offering easy commutes to major employment hubs
  • Limited development pipeline — only 625 units currently in development/planning in Santa Clarita Valley
  • Opportunity to implement a strategic interior and exterior renovation program in order to capture significant rental income premiums
  • Unit interiors can be renovated with hardwood vinyl plank flooring, recessed or track lighting, quartz countertops, modern cabinet faces and stainless steel appliances. 
  • Exterior renovations to the common areas can include, but are not limited to, modernizing the pool & spa, adding an outdoor grilling space, as well as upgrading the fitness center clubhouse, and leasing office. 
  • Adjacent to an abundance of nearby retail and restaurants, including Westfield Valencia Towncenter (2.2 miles away), River Oaks Shopping Center (2.3 miles away), and Valencia Crossroads (2.2 miles away) which includes a 35,000-square-foot Whole Foods Market
  • Located within a short drive to Six Flags Magic Mountain, multiple golf courses, and Golden Valley Ranch which features more than 900 acres of hiking and biking trails
  • With ample green space, safe streets and a distinguished school system, the Santa Clarita Valley is an ideal option for families seeking live, work and play in the same community
  • Median household income in Santa Clarita Valley is $95,064 per year ($84,063 in the City of Santa Clarita), which exceeds most major cities and counties in California
  • Santa Clarita Valley population has increased by 41% over the last 15 years, while statewide growth has only been 14%
  • Wage growth well outpaces LA County, with average salaries rising by 5% in each of the last two years
  • Over the last 3 years nearly 14,000 jobs have been created in the Santa Clarity Valley and the unemployment rate has fallen to 4.3% (4.9% in the City of Santa Clarita)
  • Home to 36 million square feet of existing commercial and industrial space with an additional 2 million square feet in planning or development
  • Highly educated labor force — 54% of residents have at least a 4-year degree