Three multifamily communities in the East Bay city of Livermore traded hands as part of a 1031 exchange. This involved the $11.625 mil sale of Outrigger Apartments, a 42-unit property, and the seller’s $24.55 mil reinvestment into the acquisitions of two nearby properties, Alderwood Park Apartments and Royal Gardens Apartments, totaling 91 units.
277 Junction Ave, Livermore (Photo: CoStar) |
 |
|
Levin Johnston’s Executive Managing Director Adam Levin, Executive Managing Director Robert Johnston, and Senior Director, Investments Adam Richardson arranged the deals. According to Levin, by trading into these two quality multifamily assets, which have undergone a combined $1.4 mil in capital improvements by prior ownership in recent years, the seller of Outrigger Apartments was able to reset depreciation, more than double unit count, and streamline operations, all while staying within the Livermore submarket they know well.”
The properties traded include:
• Outrigger Apartments, a 42-unit community located at 1020 Dolores Street. Originally built in 1964, the property features a mix of one-bedroom, two-bedroom, and studio floor plans, along with amenities including on-site laundry, a community pool, and private covered parking.
• Royal Gardens Apartments, a 46-unit property located at 434 Junction Avenue. Built in 1957, the property offers one- and two-bedroom floor plans and amenities including on-site laundry, private parking, a swimming pool, and a pet-friendly courtyard.
• Alderwood Park Apartments, a 45-unit complex located at 277 Junction Avenue. Built in 1985, the property features spacious one- and two-bedroom units, in-unit laundry, controlled-access private parking, and a pet-friendly courtyard.
“Through this transaction, our client was able to capitalize on market momentum and scale within one of the East Bay’s most resilient markets while maintaining tax efficiency through a structured exchange,” says Johnston. “Royal Gardens and Alderwood Park, located across the street from each other in a highly desirable neighborhood within walking distance of Downtown Livermore and Arroyo Plaza, offer rare operational efficiencies alongside durable renter demand.”
Situated in the heart of the East Bay, Livermore continues to attract multifamily investment driven by low vacancy levels and strong employment fundamentals. The city offers connectivity between the San Francisco Bay Area and California’s Central Valley via the Altamont Pass corridor, BART access, and proximity to major transportation corridors including Interstate 580, Interstate 680, and California State Route 84. Livermore’s vibrant downtown, wineries, and growing employment base support long-term demand.
“Livermore offers a compelling middle-market play within the Bay Area. Investors are drawn to its relative affordability, highly educated workforce, and proximity to major employment centers,” noted Richardson. “With median household income exceeding $150,000 and employment anchored by major institutions like Lawrence Livermore National Laboratory, Sandia National Laboratories, and Stanford Healthcare, well-located and maintained assets in the city create a favorable environment for stable cash flow and future appreciation.”
|
Printer-friendly Version
Email an Associate
Return to the previous page
