A Minnesota-based affordable housing developer has closed on 25.86 acres in Avondale for $11 million, setting up a 291-unit build-to-rent community aimed squarely at working families priced out of the metro Phoenix housing market. Dominium plans to develop the project, called Rosilian Villas, with completion expected in 2029.
The land sits at 1020 N. 4th Street and was part of a deal brokered by ABI Multifamily, which represented both Dominium and the Indiana-based seller, according to ABI Multifamily. The purchase price works out to roughly $9.77 per land square foot, the brokerage noted. CoStar reported that Dominium is planning the project to keep pace with growth across Greater Phoenix.
Approved plans call for 145 three-bedroom and 146 four-bedroom townhomes, all reserved for households earning at or below 60% of the Area Median Income. The brokerage's filing describes the project as mostly two-story duplex buildings alongside three single-story single-family homes, a layout meant to function like a traditional rental neighborhood rather than a standard apartment complex.
Rosilian Villas Financing
Rosilian Villas is being funded through 4% Low-Income Housing Tax Credits and tax-exempt private activity bonds, the brokerage's report states.
The need for affordable housing is underscored by rents across the region. An Arizona household needs to earn $68,366 a year, or $32.87 an hour, to afford a two-bedroom fair-market rental without becoming cost-burdened, according to National Low Income Housing Coalition data previously reported by Hoodline.
Build-to-Rent Meets Affordable Housing
Rosilian Villas applies the build-to-rent format to income-restricted housing.
The Avondale site also benefits from its location about 20 minutes southwest of Glendale's Westgate Entertainment District, home to State Farm Stadium, Desert Diamond Arena, and the incoming VAI Resort, ABI Multifamily's filing notes. That proximity to major employment and entertainment draws has made the West Valley a magnet for new residential projects.
Part of a Bigger Arizona Push
Rosilian Villas is one piece of a much larger bet Dominium is making on Arizona. The company has invested more than $1 billion in affordable housing across the state, with 1,500 units under construction and another 1,500 planned. Dominium manages more than 38,000 apartments across 19 states.
The Avondale deal follows Dominium's work on Saddleback Village at Stonegate in Maricopa, its first build-to-rent project. Dominium has broken ground on the project. The projects suggest Dominium is treating the West Valley as a long-term pipeline rather than a one-off investment.
