Palo Alto, CA — Pacific Property Company rolled into the fourth quarter of 2000 with the purchase of three apartment communities totaling almost 600 units in two separate Northern and Southern California transactions. In Southern California, Pacific acquired the 406-unit Applewood Apartments, located in Santa Ana, California. The fully amenitized community was purchased for $36,550,000 from Pacific Gulf Properties, an Orange County based REIT. The property is located along Tustin Ave, a major thoroughfare that provides immediate access to the 22 Freeway. David Casper and Bruce Furniss of Grubb & Ellis brokered the transaction.

In Northern California, Pacific acquired the 114-unit Sequoia Glen Apartments and the 77-unit Orchard Ridge Apartments in San Jose, California. Sequoia Glen and Orchard Ridge were purchased in a single transaction for the price of $24,350,000 from Gibson/Speno, a local San Francisco Bay Area owner and developer. The two properties are nearly adjacent and sit along a busy expressway on the west side of San Jose. The transaction was brokered by Stan Jones from the Palo Alto office of Marcus & Millichap.

Applewood Apartments, to be renamed Tustin Villas, closed on November 2, 2000. The community was approximately 95% occupied at closing with average monthly rents of $888. Pacific has budgeted over $3M for rehabilitating the property's exterior and upgrading the unit interiors. The capital improvement plan includes enhanced landscaping, a reconfiguration of the clubhouse, fitness center, and leasing office, and new property signage. Southern California Regional Director Phillip Shuster indicated that the overall attributes of the property made it a "must own" for Pacific; "Due to the proximity to major commute arteries, the excellent floor-plans, and the low density configuration of the property, Tustin Villas will become one of the most desirable places to reside within this market". Pinnacle Realty Management Company will be managing the property for Pacific.

Sequoia Glen and Orchard Ridge closed on October 26, 2000. Both properties were 99% occupied at closing with average rents of $1,111 and $1,138, respectively. According to Northern California Regional Director, Steven Weilbach, the location of the two properties made the acquisition compelling; "Sequoia Glen and Orchard Ridge are located on a high-traffic street just a stone's throw away from the busiest intersection in San Jose. Moreover, the two properties are around the corner from E-Bay and several other high-profile tech employers that are expected to contribute significantly to the tenant base going forward". Both Sequoia Glen and Orchard Ridge will be managed by Ventana Property Services. Ventana had been managing both assets for the previous owner and currently manages several other properties for Pacific in Northern California.

Pacific Property Company is a privately owned multifamily investment company seeking to acquire attractive apartment investment opportunities throughout California and the Pacific Northwest. Pacific's acquisition of this latest set of properties increases its portfolio of California apartment communities to over 3,600 units with a cost basis exceeding $325 million.