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Redwood City, CA Multifamily Property, Silicon Valley Region of Bay Area
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| Max Sharkansky |
REDWOOD CITY, CA(July 26,
2016) – Trion Properties, a Los Angeles-based private equity firm with a niche
focus on value-add multifamily investments, has acquired a 48-unit, value-add
multifamily property in Redwood City, a densely populated, urban neighborhood
in the Silicon Valley region of the Bay Area, in an off market transaction.
“The Bay Area is one of
the strongest markets in the country,” says Max Sharkansky, Managing Partner at Trion Properties. “The region’s
record-breaking job growth, coupled with its reputation as one of the nation’s
largest technology hubs, is driving demand for centrally-located, high-quality
housing near major employers.”
Sharkansky explains that
Redwood City, in particular, is home to a growing cluster of tech companies,
and is strategically located between the rapidly expanding job markets of San
Francisco and San Jose, which presents an attractive opportunity to cater to
the unprecedented renter demand throughout the region.
Buckingham Apartments,
which the firms plans to rebrand, is located right off El Camino Real, one of
the major thoroughfares of Silicon Valley, and in close proximity to Oracle, EA
Sports, Google, Facebook, and other Fortune 100 tech companies.
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| Mitch Paskover |
“There has been a vast
migration of businesses to Redwood City as tech firms continue to be priced out
of neighboring areas such as Palo Alto. Google, for example, recently acquired
one million square-feet in the region.
“Further, Stanford
University plans to open a 1.5 million square-foot satellite campus in Redwood
City, expanding its presence in this growing market,” says Sharkansky.
“The property’s proximity to these tech
employers, schools, and transit options such as Caltrains will spur resident
demand, generating strong cash flow and increased net operating income for this
asset.”
Sharkansky notes that it
is rare to source a multifamily property well-below replacement cost in a
market like the Bay Area with favorable economic fundamentals and strong
demographics. Redwood City boasts a median household income of $77,561 and
continues to demonstrate steady rent growth.
“Rents at this property
are currently 40 percent below market value, indicating tremendous upside
potential,” adds Farhan Mahmood,
Director of Acquisitions at Trion Properties. “By repositioning and renovating
this asset, we plan to bring rents up to market value while delivering an
institutional-quality product at a huge discount to newer construction.”
The principals of Trion
Properties are Max Sharkansky and Mitch
Paskover, two real estate professionals with over 30 years of combined
experience in finance, acquisitions, management and redevelopment.
For a complete copy of the company’s news release,
please contact:
Lexi Astfalk
Brower, Miller & Cole
(949) 955-7940
