The Small Space Marketplace

List Your Space

Find Space

Home About Us Executive Subscriber Membership RENTV Conferences Newsletter Contact Us Advertise
December 15, 2017
 Search RENTV
   Go!
 Video Programs
 News
News Home Page
Southern California
Northern California
Pacific Northwest
Texas/Southwest
Retail
Multifamily
Financing
Prop. Management
Archives
Press Releases
 R. E. Marketplace
Service Providers
JobWorks
Property Spotlight
 RENTV  Conferences
Subscriber Login:
  
Email      
    Go!
Password      
Forgot Password?



ETC... ETC...
Printer-friendly Version   Email an Associate
Trion Properties Pays $26.5 Mil for 88 Res Units in Fremont

10/03/17

Trion Properties has acquired an 88-unit multifamily property in the Bay Area city of Fremont for $26.5 mil, or $301k/unit. This is the firm’s fifth Bay Area acquisition in less than two years, bringing its portfolio in the area to 350 units.

Originally constructed in 1966, the property is located at 4445 Stevenson Blvd, a few blocks east of I-880. Trion plans to renovate the apartment community to stabilize the asset and increase net operating income. The firm will also rebrand the property, currently known as Americana Apartments, as Parc 88.

“Fremont is centrally located in the East Bay and the northern part of Silicon Valley, a region that is experiencing tremendous growth,” said Max Sharkansky, Managing Partner at Trion Properties. “The market benefits from the expansion of the technology sector as companies are moving across the Bay into this submarket.”

The apartment community is located less than five miles from Fremont’s Tesla factory, one of the most technologically-advanced automotive factories in the world, which currently employs over 6,000 people and takes up 5.3 msf. The Fremont City Council recently approved a 4.6 msf expansion of the Tesla factory, which is predicted to bring 3,100 new workers to the area and further drive demand for quality housing in this submarket.

“We have been extremely bullish in the East Bay market for the past two years, most recently acquiring a 146-unit multifamily property in San Leandro in April,” notes Sharkansky. “We continue to see deep value throughout the region and plan to further expand our portfolio throughout the East Bay.”

Sharkansky also notes that the extension of the BART, planned to be completed next year, will more effectively connect the East Bay and Silicon Valley, further driving demand for multifamily housing in the area.

“This asset was a rare find, as it was well-maintained for its vintage while presenting huge upside potential,” says Sharkansky, who notes that the property was owned by the same family since its construction. “Our previous experience in the area and our vertically-integrated property management platform will allow us to reposition this apartment community into a competitive complex that will improve our residents’ quality of life and result in favorable returns.”

The firm plans to modernize the property through a series of interior and exterior upgrades. Interior renovations will include the installation of faux wood plank flooring, quartz countertops, updated cabinetry, and washer/dryer appliances in each unit. Exterior renovations include updating the apartment’s signage and investing in landscaping the asset’s 4.4 acres of greenspace.

After upgrades, the units are expected to rent for $900-$1000 less than new construction units per month. This is expected to result in strong occupancy and stabilized cash flow, notes Sharkansky.

Continental Partners arranged a $19.75 mil bridge loan for this acquisition and $10.75 mil of joint venture equity for the asset. Shivu Srinivasan of NAI Capital represented Trion Properties in the purchase. Victor Makras of Makras Real Estate repped the seller, the Jones Family.





Return to the Archive page
 
 


 
 
 





Home | About Us | Newsletter | Contact Us | Executive Subscriber Membership | Executive Subscriber Home | Advertise
Southern California | Northern California | Pacific Northwest | Southwest | Retail | Multifamily | Financing | Property Management
Archives | Press Releases | Service Providers | JobWorks | Property Listings

Copyright © 2017 by RENTV, All Rights Reserved
Website designed by Regency Web Services, Inc. and powered by Lightning Media