By Meghan Hall
After seeing “significant” growth during the third quarter, Essex Property Trust is continuing to follow-through on its belief in West Coast markets, including the Bay Area. In a recent deal, an affiliate of the company acquired a Fremont apartment complex for $112.5 million, or about $551,470 per unit. According to The Mercury News, the seller of the complex–known as The Rexford Apartments–were family trusts affiliated with Rexford/Woodstream Apartment Homes.
The asset is located at 3400 Country Drive and was originally constructed in 1972. The community totals 204 units. Residences are a mix of one- to three-bedrooms and range in size from 720 square feet to 1,430 square feet. The community features a recreation room, Montessori School on-site, bike rooms, fitness center and swimming pools.
The property last traded hands in August of 2016 for $40.05 million, or $196,323 per unit, according to public records. The community is within an easy distance of Kaiser Permanente Fremont Medical Center, a shopping center anchored by Trader Joe’s and Target, and several local schools.
San Mateo-based Essex had a healthy third quarter, according to a recent investor presentation. During Q3, Essex reported a net operating income of $981,156,000. Northern California makes up about 41 percent of Essex’s total net operating income.
Essex noted in its presentation that West Coast markets recovered well. Year-to-date the company has purchased $225.8 million of multifamily housing, while the company’s dispositions total $330 million. Essex operates about 244 apartment communities with 60,000 residential units across Northern and Southern California, and the Pacific Northwest.