Edge at Lakewood Apartments, a 196-unit apartment community in Modesto, was sold for $42.7 million. Photo via TMG

The Mogharebi Group has arranged the $42.7 million sale of the Edge at Lakewood Apartments, a 196-unit apartment community in Modesto on behalf of Osso Capital and Graceada Partners. The sale, which closed at the end of December, marks the largest multifamily transaction in California’s Central Valley in 2023, according to The Mogharebi Group.

With a population of 6.5 million people, California’s Central Valley stretches 20,000 square miles from Sacramento to Bakersfield. Cities nestled within the Valley, such as Modesto, Fresno, and Visalia present an affordable alternative with rental rates significantly lower than those in San Francisco and the Greater Los Angeles area, said The Mogharebi Group Executive Vice President Otto Ozen.

These demand drivers are attracting investors, particularly private capital and exchange buyers to the region, Ozen added.

As a leader in multifamily investment advisory since its founding in 2015, The Mogharebi Group has closed on more than 2,600 apartment units in Modesto specifically and more than 10,000 units in the Central Valley region, with a total value exceeding $1 billion. The Mogharebi Group commands a majority market share in the Central Valley region and has arranged for the two largest deals to close in the Modesto submarket this year.

The Edge at Lakewood sits on 7.63 acres of land at 1401 Lakewood Ave. Built in 1985, the property is comprised of one- and two-bedroom units ranging from 598 to 880 square feet. Community amenities include a fitness center, clubhouse, pool, and covered parking.