Sares Regis Group Fund III is very excited to announce the acquisition of its first tower building with the addition of LIT Cortez Hill in Downtown San Diego! Built in 1973 and featuring 299 units in a fifteen-story high-rise, the building is comprised of six different studio, one, and two-bedroom floorplans, as well as some “penthouse” units. Amenities include a pool, full-sized basketball and tennis courts, fitness center, and resident lounge.
LIT Cortez Hill is located just off 10th Avenue at the State Route 163 and Interstate 5 interchange, offering residents immediate access to the UTC, Kearny Mesa, and Mission Valley job corridors, as well as San Diego International Airport and the trendy neighboring communities of Hillcrest and North Park. Additionally, 10th Avenue provides a direct route to PETCO Park, San Diego Bay, and the College City Metro Station. Cortez Hill is an exclusive Downtown San Diego neighborhood. Cortez Hill’s proximity to Downtown’s Central Business District offers compelling walkability while being situated in a residential community. LIT Cortez Hill presented a unique opportunity to acquire a premier value-add asset within this exclusive neighborhood.
The community has not seen any major cosmetic, amenity, or unit upgrades since 2012. The Sares Regis Group Fund has created a “value-add” enhancement program that will allow LIT Cortez Hill to provide an upscale living environment and lifestyle at an attractive price point, below newer higher-end apartment communities in the desirable urban lifestyle city of San Diego. Exterior and common area upgrades will include a significant refreshment of the exterior finishes, signage, and lighting, and enhancement of the landscaping around the community and the common areas. Significant upgrades to the pool area, along with the expansive outdoor deck, tennis, and basketball courts will impart a more resort-like feel. The fitness center will also be improved by adding upgraded equipment to compare with commercial fitness facilities.
Interior upgrades will include stainless steel appliances, new cabinet faces, updated quartz countertops with under-mount sinks, a contemporary kitchen backsplash, plumbing fixtures, and new two-tone designer paint. Vinyl plank flooring will be installed throughout the units.
We are very excited by the prospect of repositioning this community in central Downtown San Diego, a city that has seen incredible rebirth over the last 15 years and is now a vibrant live/work/play metropolis. The acquisition process was another example of cross affiliated efforts successfully coordinating among various Sares Regis Group teams. Congratulations and thank you all for the great work!
William B. Montgomery
Chief Investment Officer