**Cavan Cos. Sells Gilbert BTR Community for $66.1 Million**
Cavan Companies has completed the sale of The Bungalows at San Tan Village, a 159-unit build-to-rent (BTR) community in Gilbert, Arizona, for $66.1 million. The buyer of the property was AEW Capital Management, which acquired the asset at a price of approximately $415,723 per home. AEW reported a cap rate of 4.9% for the investment.
Located at 2120 E. Ray Road, roughly 29 miles southeast of downtown Phoenix, the property sits on nearly 15 acres of land. The Bungalows at San Tan Village was completed in 2024 and offers one- to three-bedroom single-story rental homes ranging in size from 676 to 1,355 square feet. At the time of the transaction, the community was 97% occupied.
Each unit features a private backyard, and community amenities include a modern fitness center, swimming pool, and clubhouse.
According to research from Yardi Matrix, the Phoenix metro area is seeing strong demand for BTR housing, with premium pricing to match. For example, J.P. Morgan Asset Management recently acquired Bella Encanta, a 212-unit BTR property in Mesa, for $99.8 million. Sold by Bela Flor Development, the property traded at a per-unit price of $451,650, nearly double the average price recorded during the same period the previous year ($263,236).
