Blackstone Subsidiary Tricon Residential Expands Arizona Footprint With $44M Phoenix BTR Portfolio Acquisition

Blackstone subsidiary Tricon Residential expands its Arizona footprint with a $44.2M acquisition of 91 detached rental homes in the high demand Southeast Valley.

By: AXL Media

Published: Mar 12, 2026, 4:34 AM EDT

Source: https://www.multihousingnews.com/

Strategic Acquisition of The Bower Portfolio

The acquisition includes two stabilized communities: The Bower Gateway, a 48 unit property in Mesa, and Bower Hudson Crossing, a 43 unit development in Chandler. These assets feature detached three and four bedroom floorplans equipped with private backyards and attached two car garages. Completed between 2022 and 2024, the properties are located approximately 30 miles from downtown Phoenix. Northmarq represented the sellers in the deal, noting that the portfolio has maintained exceptionally high occupancy rates ranging from 96 to 100 percent with minimal tenant turnover.

Blackstone’s Billion Dollar Integration of Tricon

This latest purchase is part of a larger strategic mandate following Blackstone’s $3.5 billion take private acquisition of Tricon Residential last year. At the time of the merger, Tricon managed a portfolio of roughly 38,000 homes. Blackstone has committed $1 billion toward expanding Tricon’s new construction BTR pipeline and an additional $1 billion for capital improvements to existing inventory. Recent moves by the firm include the delivery of 301 homes in Texas and the acquisition of a 232 unit portfolio in the Atlanta metro area for $78.2 million.

Competitive Dynamics in the Southeast Valley

The Southeast Valley—encompassing Mesa, Chandler, Gilbert, and Queen Creek—has emerged as the most active submarket for real estate investment in the Phoenix region. According to Ryan Boyle of Northmarq, investors are increasingly drawn to this area due to its concentration of white collar employment hubs and superior demographic profiles. Unlike other regions of the Valley, the Southeast has a lower concentration of new supply, allowing institutional landlords to maintain price premiums and high retention rates in a competitive rental landscape.