PHOENIX – Neighborhood Ventures, an Arizona real estate crowdsourcing company, is buying a distressed apartment complex near Grand Canyon University in Phoenix.
The property is called Thom Slate on Colter. It consists of 123 units near Camelback Road and Interstate 17.
The previous owner spent $2 million in renovations, including chiller systems, plumbing, electrical and roofing, but lost the property due to a difficult debt situation.
Neighborhood Ventures agreed to acquire the complex directly from the lender for $13 million ($105,000 per unit).
“This acquisition aligns perfectly with our strategy of finding distressed assets in high-demand markets and delivering strong, consistent returns to our investors,” Jamison Manwaring, co-founder and CEO of Neighborhood Ventures, said in a press release Tuesday.
What will real estate crowdsourcing company do with apartments?
Neighborhood Ventures provides Arizona residents with the opportunity to invest in property without being landlords.
The real estate crowdsourcing company plans to lease the 25 vacant units of its latest purchase and operate it for about three years, renamed as Venture on Colter, before reselling it.
The Venture on Colter offering drew more than $1 million in investments within in the first hour of availability, according to the release.
“With Grand Canyon University nearby and ongoing improvements in the corridor, this area has seen tremendous growth,” John Kobierowski, co-founder and real estate president for Neighborhood Ventures, said in the release. “We’re excited to bring our expertise in property management to lease up the remaining units and maximize the property’s potential.”
