Developer sells Las Vegas apartment complex for $118M as sales rebound
A Las Vegas developer has sold an apartment complex for nearly $120 million, following a rebound in deals at sliding prices in Southern Nevada.
The Calida Group sold Elysian at Sunset, a 384-unit complex in the southwest valley, to a real estate firm called Faring, property records indicate. The sale, for $118 million, closed in late January.
Overall, the price amounts to more than $307,000 per unit, far above the market average.
Calida co-founder Eric Cohen confirmed the transaction, saying the complex was more than 90 percent occupied at the time of sale.
Elysian at Sunset, just north along the 215 Beltway between Buffalo and Durango drives, opened in 2022. It features poolside cabanas, an outdoor volleyball court and a 9,000-square-foot clubhouse with arcade machines, billiards, and massage and tanning rooms, according to a brochure.
Jason Illoulian, founder and CEO of West Hollywood, California-based Faring, told the Las Vegas Review-Journal that his team saw strong long-term potential in the complex due to its location, income profile and amenities.
“Las Vegas continues to demonstrate resilient population growth and demand for quality rental housing, making this an attractive acquisition for our portfolio,” he said in a statement.
Apartment landlords pulled back sharply from buying properties in Southern Nevada a few years ago as high interest rates pushed up borrowing costs, and sales prices also fell.
Investors bought 22 apartment complexes in Southern Nevada last year, up from just seven in 2023 but down from 45 in 2022, according to data from John Stater, Las Vegas research manager for brokerage firm Colliers International.
The average price per unit last year, almost $212,000, was down from about $246,300 in 2023 and around $297,000 in 2022, Stater found.
Illoulian said he has observed a similar pattern of down-and-up sales totals across several markets.
The volume of deals “slowed significantly” in 2023 amid interest-rate volatility, but there is now increased activity as buyers and sellers “adjust to the new financing environment,” he said.
Contact Eli Segall at esegall@reviewjournal.com or 702-383-0342.
