Sares Regis Secures $76M for Rare Institutionally Managed Multifamily

PCCP LLC recently provided a $76 million senior loan to an affiliate of Sares Regis Group for the acquisition and renovation of LIT Cortez Hill (formerly known as AVA Cortez Hill), a 299-unit high-rise apartment located at 1399 9th Ave. in downtown San Diego. Built in 1973, the property is situated on a 1.38-acre site in the Cortez Hill neighborhood. The seller was AvalonBay.

“PCCP’s loan will provide Sares Regis with financing for a rare opportunity to acquire a well-designed and institutionally managed high-rise apartment community with an abundance of outdoor amenity space in the secluded and desirable Cortez Hill neighborhood of downtown San Diego,” said Michael Johnson, senior vice president with PCCP. “A portion of the funding will be used to add value to the property by making renovations to the asset in order to attract renters seeking a modern updated rental community.”

The 15-story property is comprised of 299 units and 1,670 square feet of ground-level retail with a unit mix consisting of 97 studios, 117 one-bedroom units and 85 two-bedroom units. All of the units have private patios or balconies, with the corner units having two balconies. There are nine floorplans ranging from 570 to 1,059 square feet with an average unit size of 771 square feet.