Leading Japanese developer, owner, and operator Nippon Steel Kowa Real Estate Co. (NSKRE) has reentered the U.S. real estate market. The Tokyo-based firm, advised by Metzler Real Estate, has partnered with Denver-based Continental Realty Assets, a subsidiary of Continental Realty Group, to acquire a 150-unit multifamily community in Phoenix’s Fountain Hills submarket.
The acquisition of Arrive Fountain Hills, brokered by Cushman & Wakefield, is the first collaboration for the joint-venture partnership, which is focused on acquiring core-plus multifamily communities in Phoenix.
“We are excited and grateful to complete our first acquisition with NSKRE,” said David Snyder, president of Continental Realty Group. “Our local market knowledge and history as a sponsor together with NSKRE’s global reputation as an institutional real estate firm makes for an ideal combination, and we are honored to partner with them as they reenter the U.S. real estate market.”
The community will be renamed Luna at Fountain Hills to reflect Fountain Hill’s designation as an International Dark Sky Community for showing exceptional dedication to the preservation of the night sky through the implementation and enforcement of a quality outdoor lighting ordinance, dark sky education, and citizen support of dark skies.
Built in 1998, the community will undergo a value-add program to update unit interiors. Improvements will include solid-surface countertops, new cabinet faces and hardware, new appliances, kitchen backsplashes, updated blinds, and faux wood flooring. According to the firm, the business plan will allow the community to offer quality housing at an affordable price relative to nearby submarkets.
Luna at Fountain Hills will be managed by Mark Taylor Residential.