A group of separate investors that included institutional funds and high net worth individuals has scooped up an eight-property, 644-unit multifamily portfolio in Los Angeles from a private owner for $162M.

The properties, many of them in the Valley area of Los Angeles, were in high demand, according to brokers at Marcus & Millichap, whose Institutional Property Advisors division represented the seller. The seller has owned some of the properties for more than three decades.

“We generated 130 offers and sold the assets to five different investors,” Marcus & Millichap’s Greg Harris said in a news release. “Cap rates ranged from the mid-threes to the mid-fours on current operations. Projected cap rates, post-renovation, range from 5% to 6%.”

The Marcus & Millichap team of Greg Harris, Ron Harris, Kevin Green, Joseph Grabiec and Bryan Schellinger represented the seller and procured the buyers.

Ron Harris said seven of the eight assets are non-rent-controlled.

The properties are:

• the 148-unit Oaktree Apartments in Santa Clarita.

• the 130-unit Stillmore Apartments in Santa Clarita.

• the 112-unit Tamarind Terrace Apartments in Hollywood.

• the 88-unit Regency Apartments in Van Nuys.

• the 35-unit Woodley Court in Van Nuys.

• the 28-unit Vista Del Madre Pasadena.

• the 60-unit Foothill Village in Sylmar.

• the 43-unit Sylvan Apartments in Van Nuys.

Demand for multifamily products in Los Angeles continues to trend upward. Vacancy is low and rent in the San Fernando Valley area and the tri-cities, where many of these apartments were sold, have increased by 4.1% to $2,045 a month, according to the Marcus & Millichap first-quarter report.

“The region’s proximity to Downtown Los Angeles and Westside Cities coupled with its lower cost of living make it a desirable spot for families and Millennials seeking moderate commute times and relatively affordable rents,” the report states.