Blackstone Takes Haircut On Arizona Multifamily Complex

Real estate investor Blackstone last week sold a Glendale apartment community for $101.4M — about 18% less than what it paid for it in 2021, the Phoenix Business Journal reported.

Blackstone purchased the 412-unit Arrowhead Summit at 18330 N. 79th Ave. for $123.6M in July 2021. The seller was Cortland Partners, which had paid $60.5M for it in 2018.

The property was originally built in 1999 by Fairfield Residential. 

Blackstone sold Arrowhead to an entity linked to Santa Barbara, California-based NALS Apartment Homes, according to the PBJ. The CBRE officials who negotiated the transaction said the property was 93% occupied at the time the deal closed on April 23.

While Blackstone sold the property at a loss, the sale was nevertheless one of the biggest multifamily transactions in Arizona this year. Only three sales have topped $100M, the PBJ reported. Avant Fashion Center sold for $110.25M in January, and Cortland Biltmore sold for $125M in March.

Phoenix-based ABI reported a total multifamily transaction volume of $742M at the end of the first quarter, up 17.4% from the previous year. The Phoenix multifamily market showed stabilizing vacancy in Q1 with strengthening absorption, according to a Kidder Mathews report. 

Earlier this month, Blackstone sold two multifamily properties in Georgia and Florida to American Landmark, according to Multi-Housing News. 

Blackstone announced in March that it would close on some $845.2M in refinancing for a nearly 5,000-unit multifamily portfolio managed by Blackstone Real Estate Income Trust. The funding would be used to refinance $924.5M of existing debt. 

BREIT rebounded in 2025 after two weaker years, with $7.2B in inflows.