Most conversations about how much multifamily values have corrected since the 2022 peak rely on indexes, cap rate surveys and averages. A transaction that closed this week in Las Vegas offers something more concrete: the same 232-unit property, sold twice, four years apart, with both prices on the record.
The CONAM Group has acquired Alicante Apartment Homes, a 232-unit community in Spring Valley, Nevada, for $58 million, according to Yardi Matrix data reported by Multi-Housing News. The seller, Sares Regis Group, had paid $86.8 million for the same property in 2022. That’s a $28.8 million decline, or roughly 33%, on an identical asset, with no change in unit count, location or physical footprint to explain the gap. On a per-unit basis, the property went from about $374,000 to exactly $250,000.
CONAM made the purchase through its fourth discretionary investment fund, CONAM Strategic Investments Fund IV. Built in 2001, Alicante sits on more than 11 acres about two miles west of the Las Vegas Strip, with one-, two- and three-bedroom units averaging 1,092 square feet, and it’s currently 96.6% occupied, a healthy figure that suggests this wasn’t a distressed or underperforming asset trading at a discount because of operational problems…