The Opportunity

Investment Highlights

• 1. Newly Stabilized, Highly Amenitized BTR Asset

  Estia Surprise Farms is a newly built, 2022-vintage horizontal build-to-rent community stabilized at approximately 94% occupied, with operations running in the mid-90% range and peaking near 97% in 2026 — demonstrating durable renter demand for its differentiated, low-density detached product. Single-story duplex and standalone homes with private fenced yards are paired with an amenity set that rivals conventional Class A multifamily — resort-inspired pool with spa and lap pool, expansive clubhouse with game room and serving kitchen, fitness center, and dog park — all within a gated, pedestrian-access-controlled community.

• 2. High Barriers to Entry and Limited Multifamily Development

  No multifamily communities are currently under construction in the submarket, and replacement costs remain near or above acquisition basis — creating one of the strongest future supply-demand dynamics in Metro Phoenix and limiting competitive new development.

• 3. High Mortgage Rates and Limited Resales Bolster Build-to-Rent Demand

  Elevated mortgage rates and constrained resale inventory continue to support renter demand across the Northwest Valley. Estia is surrounded by strong for-sale demand, including the master-planned Asante ($320s–$580s+) and Sterling Grove ($360s–$3.1M+ guard-gated golf community) developments, underscoring the depth and affluence of the surrounding residential base and reinforcing the relative value of renting at Estia.

• 4. Untapped Ancillary Income and 2028 Property Tax Reassessment Upside

  Estia offers embedded upside for a new owner across ancillary income and property taxes. The property does not currently charge a technology/internet package fee — a revenue line captured by nearly every West Valley comp — representing straightforward income upside. Separately, Maricopa County valuations have reset sharply across the marketplace, with the property’s Full Cash Value (FCV) down $20.3 million in 2027 since 2025; with the 2027 Limited Property Value (LPV) now at approximately 90% of FCV against a current Rule B ratio of 58%, a reassessment could be triggered in 2028 — either organically, if FCV falls below LPV, or through a lot split. 

• 5. Young, Affluent Northwest Valley Demographics

  Estia sits within one of Metro Phoenix’s fastest-growing submarkets, with an average household income of approximately $83,800 (median $73,200) and a young, recession-resilient resident base — median age 33, with 56% of residents under 35. Healthcare, service/hospitality, and other frontline W-2 sectors make up roughly half of employed residents, underscoring durable, broad-based rental demand. 

• 6. Dysart Unified: A Well-Regarded West Valley School District

  Estia is situated within Dysart Unified School District, rated B+ overall by Niche, with residents zoned to Canyon Ridge School (PK–8, A-), Western Peaks Elementary School (PK–5, B+), and Willow Canyon High School (A-).

• 7. Healthcare Infrastructure Supports Durable Rental Demand

  The Northwest Valley’s healthcare sector is one of the region’s largest and most resilient, with over 30,000 employees within a 10-mile radius and 11 major facilities — including Banner Health, HonorHealth, Abrazo Health, Phoenix Children’s, and Valleywise Health — serving nearby Sun City, one of the nation’s largest active adult communities. Reflecting this depth, 11.3% of Estia’s residents work in the medical industry, reinforcing a stable, high-quality renter base.

• 8. Strong Employment & Infrastructure-Driven Demand

  With convenient access to Loop 303 and Loop 101 via Bell Road, Estia sits at the center of the Northwest Valley’s emerging advanced-manufacturing corridor — anchored by TSMC’s $265 billion semiconductor campus and Amkor’s $12 billion advanced packaging facility in nearby Peoria — together generating tens of thousands of high-paying jobs and durable housing demand.

• 9. Proximity to Lifestyle and Entertainment

  Minutes from Surprise City Center, the P83 Entertainment District, Village at Prasada, and Westgate Entertainment District, with easy access to Banner Boswell Hospital and the broader West Valley healthcare network.