NGKF Capital Markets, in conjunction with ARA, A Newmark Company (ARA Newmark), announces the sale of 15.52 acres at the northwest corner of Stephanie Street and Wigwam Parkway to The Calida Group, L.L.C. The notable multihousing builder purchased the land from KB Home for $9,312,000, or $600,000 per acre. NGKF Capital Markets and ARA Newmark representatives Doug Schuster, Curt Allsop and Vittal Ram represented the buyer in the sale transaction.
“The Green Valley/Henderson Class A submarket has been experiencing extreme rental growth, with five to 10 percent rental increases in the last 12 months. The high price paid per acre is consistent with this expansion, as well as the anticipation for future escalation,” noted NGKF’s Senior Managing Director Schuster. Known for their highly amenitized lifestyle communities located in premier submarkets, Calida intends to expand on its successful Elysian brand at Stone Lake, which reflects the company’s commitment to quality design, construction and management of premier multihousing communities. “Calida’s Elysian product is highly admired, fills quickly, and consistently sets records for lease rates and exit values,” added Schuster.
“This transaction represented an alliance between The Calida Group, one of the most active multihousing builders in the valley, and KB Home, one of the nation’s largest and most recognized home builders,” commented Allsop, also a NGKF senior managing director. KB Home owned the 40-acre parcel, which was subdivided to sell the 16-acre lot to Calida for the company’s premier multihousing product. KB Home reserved a 21-acre parcel for single-family, as well as sold a three-acre lot for a retail corner with three pad sites.
Stone Lake is part of Cornerstone Park, Henderson’s 100-acre open space with a lake and hiking trails. KB Home is actively building single-family product in the Stone Lake community, in sizes ranging from 1,800 to 3,800 square feet. KB and Calida will share an entrance into the development, with the Calida product located along Stephanie Street, and leading to the Galleria Mall , with its premium amenities, including top schools and exclusive retail. Calida is scheduled to begin construction in fourth quarter 2015, with delivery expected in the fall of 2016.
“Multihousing is growing at a phenomenal rate in the valley compared to just a few years ago,” added Allsop. “Currently 2,500 units are under construction with another 2700 planned for 2016, and 2017.” Despite the expansion of multihousing product, it is estimated that the market will require 8,000 units of additional multifamily product – up to 60 percent more – to accommodate current demand.