The first build-to-rent (BTR) community approved in town, Pillar at Fountain Hills, previously known as The Havenly Fountain Hills, sold in February for $68.3 million with the intention of freeing up resources to build similar projects around Arizona and beyond.
Sold by the Scottsdale-based home builder, Keystone Homes, the 147-unit, single-family, detached home community behind the Bashas’ shopping center is now owned and managed by Washington-based real estate company, Private Portfolio Group, under the brand Pillar Communities.
When the transaction closed, monthly rental rates at The Havenly Fountain Hills ranged from $2,090 for a 722-square-foot, one-bedroom unit to $3,570 for a 1,612-square-foot, three-bedroom unit, according to reporting by Angela Gonzales of the Phoenix Business Journal. The luxury rental community was 92% occupied at the time of the sale.
The Havenly Fountain Hills was Keystone’s first BTR project and Fountain Hills presented an optimal location for the first-of-its-kind luxury community.
“Our desire was a quality project offering beautiful homes, a sense of community within it and connection to the area, that would be well received by the local community as well as future residents,” Keystone’s Marketing Manager, Gena Zestrijan said. “The town was terrific to work with, they were open-minded and supportive of what our vision was.”
According to Zestrijan, there was quite a bit of interest in the ownership of the year-old BTR community and Keystone was pleased to choose Private Portfolio Group as the new owners, “as they seem to view their residents like we do, not just customers,” Zestrijan added. “They have a long view on ownership and management with 5-10 year run and they show a great, long-standing record in the industry.”
Keystone’s goal of selling the community was to free up financial and physical capital for other Havenly Communities under development in Gilbert, Apache Junction, Prescott and Santa Fe, N.M., Keystone’s first project outside of Arizona.
The BTR community was previously managed by Global Real Estate Service Firm, Cushman & Wakefield. Once the sale was finalized, Pillar Communities took over both ownership and property management of the community.
Remington Thorn is the current community manager at Pillar Fountain Hills who provided hard-hat tours during the nascent stage of Havenly. Previously employed by Cushman & Wakefield, Thorn and Assistant Manager, Joyce Corley were both acquired and promoted by Pillar Communities through the sale of Havenly.
As of Friday, March 24, new messaging has gone out across social media notifying current and potential residents of the new ownership.
When Christine Daryll Leonor was looking for housing in the spring of 2022, she was not ready to purchase a home. She toured Havenly and was drawn to its safe atmosphere and upgraded rental experience.
Leonor moved into Havenly on April 8, 2022, initially leasing a one-bedroom unit, but with her family moving into town, she decided to transition into a three-bedroom unit last month.
“I like the fact that there is no one living below or on top of me,” she said. “I like how it’s built like a home.”
Leonor enjoys living in the quiet community and walking her two-year-old Siberian Husky named Nala.
If the community ever offers an option to purchase, Leonor said given the location and amenities, she will be first in line to buy.
“Nala loves it because there’s a lot of space to walk around and go bananas,” she said.
According to the National Apartment Association, the Greater Phoenix market leads the nation in the number of BTR homes, encompassing more than 6,400 units in 2022. Zestrijan of Keystone Homes says Fountain Hills is special to the company because it is the location of its first BTR project since the company was established in 1989.
“Fountain Hills will always hold a bright spot in our hearts,” Zestrijan said.