May 2, 2022

LEM Capital Acquires Tucson, AZ Property

Philadelphia, PA – LEM Capital, L.P. (“LEM”) has acquired Canyon Heights (the “Property”), a 196-unit apartment community located in the Southeast submarket of Tucson that was built in 1982. LEM plans to execute a comprehensive value-add business plan to upgrade the Property’s interiors, exteriors, and amenities. The Property was acquired in partnership with a local operating partner.

The Southeast Tucson submarket is centrally located within in the Tucson MSA and has grown steadily over the past several years. The Property is located just off North Pantano Road and East 5th Street and proximate to the east/west thoroughfares of Speedway Boulevard and Broadway Boulevard, which provides convenient access throughout the greater MSA. The Property is located three miles east of Park Place Mall, a primary retail, entertainment, and dining destination in East Tucson with over 125 stores, including Century Theatres, Dillard’s, Total Wine, Ulta Beauty, and Old Navy. The property is a short drive to the main campus of the University of Arizona which is the largest employer in Tucson with over 15,570 employees.

Canyon Heights features a desirable mix of one and two-bedroom floorplans which should attract a broad base of renters. LEM believes that there is an opportunity to substantially upgrade interiors to create best in class units. The business plan also includes a comprehensive exterior and amenity renovation plan to improve the clubhouse facility and pool area, exterior curb appeal and overall entrance experience, and landscaping throughout the Property.

Canyon Heights represents a unique opportunity to acquire a well-located Property in a transforming submarket and establish a new operating partner relationship,” said David Lazarus, a Managing Director at LEM. “The Property has significant physical upside, and we believe that it should benefit greatly from the positive demographic trends in the submarket and the Tucson MSA.”

About LEM Capital

LEM Capital is a real estate private equity firm with a 20-year track record focused on protecting investors’ downside and building portfolios to help deliver dependable current cash flow and equity upside through good and bad cycles.

The team consists of multifamily experts that seek to acquire well-located apartment properties where LEM can add value and increase rents through physical upgrades and implementation of better management practices. The firm’s approach combines the local, long-term market knowledge and day-to-day management of its network of local partners with LEM’s disciplined investment selection, rigorous due diligence process and intensive asset management oversight. LEM’s goal is to deliver attractive risk-adjusted returns to its investors while safeguarding capital.

Since 2002, LEM has raised over $1.6 billion in investor commitments1 and has acquired over 25,000 value-add apartment units since 2011.2

Notes: 1 – As of April 29, 2022. 2 – As of April 26, 2022.