San Diego, Calif. - West Coast multifamily investor Pacific Property Company has acquired its first properties in San Diego County. The two acquisitions, which closed at the end of the year, were orchestrated by Rory Gardner, the Acquisitions Manager who recently opened Pacific's Irvine office to better serve South Orange, San Diego, Riverside and San Bernardino counties.

Palo Alto-based Pacific Property purchased the 338-unit Carmel Mountain Apartments and the 262-unit Mountain Ranch Apartments, both located in the master-planned community of Rancho Bernardo, a suburban community located approximately 20 miles from downtown San Diego and proximate to Interstate 15.

Met Life sold both properties to Pacific Property Co. Sale price of the two apartment communities was not disclosed.

Both communities feature one and two bedroom apartment homes, which range from 704 square feet to 1,036 square feet. Current rents range from $970 to $1320. Both properties feature offer full amenity packages, including: fitness center, business center, pool, sauna, Jacuzzi, and racquetball.

Pacific Property Company CEO Alfred Pace characterized the year-end investments as consistent with the company's goals of buying well-located multifamily communities within urban and commute corridors in which residents experience greater home ownership barriers to entry, and selling properties when investment yield targets are attained.

"We like San Diego County and believe in the area's long-term economic health and need for good quality housing. Despite record low mortgage rates available to buyers of single-family dwellings, apartment homes will remain a significant component of the housing mix and therefore good investments for Pacific and our financial partners," said Mr. Pace.

Pacific anticipates investing an additional $4.7 million to rehabilitate the properties. "Due to the excellent condition of the properties, our capital improvement efforts will be focused on interior unit enhancements, including new kitchens, flooring, and lighting. In conjunction with the physical repositioning of the property, a strong marketing program will be implemented to highlight the property's attributes. We are confident that the combination of our value-added strategy and aggressive management will allow these properties to improve their competitive position in one of Southern California's strongest rental sub-markets," said Rory Gardner. He added that Carmel Mountain and Mountain Ranch apartments are ideal initial San Diego acquisitions for Pacific Property and that the company will actively seek further investment opportunities in San Diego.

Pacific's Director of Property Operations George P. Dobbel, Jr. will direct the property's capital improvement program. Alliance Residential Company will manage the property for Pacific.

Other recently closed Pacific Property investments include apartment communities in Pasadena, Los Angeles, San Jose and Oakland, Calif., totaling more than 300 units and nearly $40 million in consideration. With a portfolio topping 3500 units, Pacific remains one of California's most active apartment investors.

Pacific Property opened its Los Angeles office in 1999. Mr. Gardner was promoted to acquisitions manager of the Irvine office when it opened in fall 2002. He had been Senior Acquisitions Analyst and operated from the firm's Westwood (Los Angeles) office, run by multifamily market veteran and Managing Director Phil Shuster.

Pacific Property Company is a privately-owned multifamily investment company seeking to acquire attractive apartment investment opportunities throughout California and the Pacific Northwest.