SCOTTSDALE, AZ – A new joint venture among funds managed by the real estate group of Ares Management and Kaplan Management Company announced the acquisition of a prime residential development site in Scottsdale, Arizona.
The 8.8-acre development, to be known as the District at the Quarter, will consist of 612 for-rent residential units and 7,000 square feet of commercial space upon completion. The project is located adjacent to the Scottsdale Quarter, a 1.2 million square-foot mixed-use lifestyle center featuring more than 80 high-end retailers, and is proximate to Kierland Commons, an open-air lifestyle center containing 700,000 square feet of specialty retail, office and residential uses. The project will be built in two phases, with the first phase (comprising 332 residential units) anticipated to open in 2018.
“The District at the Quarter is located in one of the strongest for-rent markets in Phoenix, and presents the opportunity to drive significant value by creating a best-in-class living experience for residents. This positions the project as a strong addition to our opportunistic real estate strategy, which focuses on development and redevelopment opportunities in primary U.S. markets,” said Jay Glaubach, Managing Director in the Ares Real Estate Group. “This project also marks the beginning of a strong partnership with Kaplan, a proven developer and owner with a long track record of building high-quality multifamily projects.”
“The District at the Quarter represents an outstanding location and is a welcome addition to our development portfolio,” said Geoff Simpson, CFO of Kaplan Management Company. “It also represents Kaplan’s second development in Phoenix and its first with Ares Management, a partner we look forward to working with closely for many years.”