Next Wave Investors, based in Southern California, recently expanded its holdings in Las Vegas by buying Villaggio Di Murano, an 88-unit apartment community for $14.5 million. The seller’s name was not disclosed in the off-market transaction. The property is located in Spring Valley, which is about 2 miles west of The Strip. The unit mix includes one-, two-, and three-bedroom floor plans. There’s also a business center and a fitness center on the property.
Next Wave is planning to upgrade the community and is bullish on what’s happening in the Las Vegas multifamily sector. The firm intends to spruce things up with paint, signage, landscaping, pool area improvements, and interior unit enhancements.
“Villaggio Di Murano fits squarely within our investment thesis, through which we invest in well-located, opportunistic, and value-add multifamily properties in key secondary markets including Las Vegas, Phoenix, and Salt Lake City,” says Jordan Fisher, principal at Next Wave. “Built in 2005, this property was well-maintained by the seller and remains in its original classic condition, giving our team a tremendous opportunity to create deep value by implementing thoughtful renovations while also adding in-demand amenities.”
Population growth in Las Vegas continues to spur major development projects in the area, including a new football stadium, distribution centers, and a new convention center. Experts often point to the city as one of the leaders on the list of Mountain West areas of multifamily opportunity.
“The city’s workforce has expanded by 1.4% in the past 12 months, and Clark County posted the second-largest population increase of any U.S. county between 2017 and 2018—all of which is fueling demand for well-located, well-amenitized multifamily product,” says David Sloan, principal at Next Wave. “As one of the strongest markets for multifamily investments in the nation, Las Vegas offers an average asset appreciation of 13.29%, supporting steady rent growth while maintaining a rental ratio that is sensible for residents.”