Los Angeles, CA - Pacific Property Company entered the Inland Empire apartment market by acquiring 420-units in Murrieta, CA. The five year old multifamily investment firm teamed with GE Real Estate and Wachovia Securities to pay $37.5M for the Los Alamos Apartments. The Pacific-GE joint venture plans to invest in excess of $1M to reposition the property, which will be renamed "Waterstone at Murrieta." Wachovia's Structured Finance Group wrote the senior debt.

This is the first deal closed under the new joint venture formed by Pacific Property and GE Real Estate. The alliance was formed to acquire multifamily properties on the West Coast.

Pacific's Acquisition Manager, Rory Gardner, detailed the firm's interest in the property, "Los Alamos is an institutional quality asset that we were able to acquire at a significant discount to replacement cost. The property is fully amenitized; containing washers and dryers in each unit, two pools, a fitness center, and two recreation rooms. In addition, our market research indicates improving the property's curb appeal and implementing select cosmetic upgrades will result in significant short term rental rate improvements. The broader Murrieta / Temecula apartment market offers excellent long-term prospects; benefiting from housing costs that are affordable relative to neighboring communities, while at the same time rapidly adding a local employment base."

"This strategic acquisition is the first transaction we have closed under our new joint venture partnership with Pacific Property Company and signifies our commitment to rapidly expanding our partner base and multifamily holdings along the West Coast," noted Chris Garner, West Coast Region Manager at GE Real Estate. "The Waterstone at Murrieta transaction represents a successful partnership between GE Real Estate's capital strength and Pacific Property's local presence and expertise."

Constructed in 1990, Los Alamos is situated on a 20.5 acre site. Stratus Real Estate will manage the property for Pacific.

Pacific's President, Alfred Pace, expanded on the firm's continuing Southern California growth, "We remain extremely bullish on the investment prospects for Southern California. To capitalize on the positive market fundamentals in the region, we are investing heavily in acquisition personnel. In the past ten months, we have successfully expanded our investment focus into both San Diego and Ventura County, acquiring assets in each market. Our entry in the Inland Empire via the Los Alamos acquisition is another step in our firm's current growth strategy. We are also very pleased to close our first joint venture investment with GE Real Estate and continue our strong partnership with Wachovia." In the past ten months, Pacific has acquired nine Southern California properties in transactions valued in excess of $225M.

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