Advanced Real Estate Acquires Casa La Paz Rebrands Asset As The Rowland
Advanced Real Estate has acquired the 126-unit Casa La Paz community in Rowland Heights, California, rebranding the asset as The Rowland. The company plans a comprehensive renovation program that will include exterior upgrades, interior unit improvements, and enhanced community amenities as part of a value-add repositioning.
The acquisition is the fifth property added to Advanced Fund 24-3 in the past eight months. Recent fund activity includes two luxury apartment towers totaling 393 units in Hollywood, 138 units in West Covina, and 104 units in Santa Ana. The Hollywood purchase in late April was the largest apartment transaction recorded by any firm so far this year in Southern California. Advanced’s Southern California portfolio now exceeds 13,000 apartment units with an estimated market value of $5 billion.
Advanced structured the Rowland acquisition using a 721 tax-deferred exchange and contribution. The former family owners contributed the property into Advanced Fund 24-3 in exchange for partnership interests; some partners in the seller’s group elected to receive cash payouts, which Advanced provided at closing.
“Many apartment owners want to preserve equity and defer taxes while still transitioning away from the inherent risks of ownership as well as the day-to-day management responsibilities,” said Richard Julian, CEO of Advanced Real Estate. “Our structure allows owners to contribute their property into a solid and diversified institutional-quality portfolio while maintaining investment participation for the long term. It’s a strategy we’ve successfully implemented across numerous acquisitions.”
Located in the San Gabriel Valley, The Rowland benefits from regional demographics, proximity to employment centers, and access to retail, dining, and transportation corridors. Advanced intends to modernize the community and enhance the resident experience through targeted capital improvements and professional management.
“Rowland Heights represents a highly desirable suburban Southern California rental market because of its central location and strong long-term fundamentals,” said Paul Julian, President of Advanced Real Estate and Richard’s son. “We see substantial upside by repositioning this property through thoughtful renovations and professional management while creating long-term value for both residents and investors.”
Property management will be handled in-house by Advanced Management Company, and renovations will be administered by Advanced’s affiliated construction arm, R3 Construction Services. The transaction underscores continued institutional capital deployment into Southern California value-add multifamily opportunities and the growing use of tax-deferred structures to facilitate ownership transitions.