By Jon Peterson
There are four apartment complexes in the Tenderloin neighborhood of San Francisco that are now up for sale. These complexes total 195 units and the total price on the combined assets would be $50 million.
Two of the properties are owned by San Francisco-based Veritas Investments. These are the 86-unit complex located at 270 Turk and the 32-unit 381 Turk property. The property at 285 Turk is up for sale and is owned by San Francisco-based Mosser Companies. The 35-unit complex at 620 Eddy is owned by San Francisco-based Ralston Capital.
The listing agent on all of the properties is the San Francisco office of Colliers International. The people involved in the sale are Brad Lagomarsino and James Devincenti, both executive vice presidents for Colliers who focus on the sale of apartments in San Francisco.
“All of the sellers are of the opinion that now is a good time to be selling apartments in San Francisco with so many capital sources looking for product in the city,” says Lagomarsino.
The properties could be sold to a single investor or each asset could have a new owner in the future. The types of buyers could be a variety of investors including institutional capital, high-net worth individuals and 1031 exchange investors.
270 Turk is on the market with a potential sales price of $20.85 million. Veritas had acquired the property in 2013 for $9.85 million. The other Veritas-owned asset, 381 Turk, could have a sales price of $7.45 million. It was bought by the seller for $4.6 million in May 2014, as stated in public documents.
285 Turk is being offered at $14.75 million. The seller had acquired the property for $11.93 million in 2016. 620 Eddy has a potential sales price of $7.25 million. Ralston Capital has owned the asset since May of 2016 when it was bought for $3.9 million, according to public documents.
All of the apartment complexes that are up for sale are essentially full properties from an occupancy standpoint. “If there are any vacancies, the unit is being renovated before a new tenant moves into the space,” said Largomarsino.