The Property was Purchased Off Market
(EDITOR’S NOTE: According to sources with knowledge of the transaction detail, the property sold for $33 million, or $168,367 per unit.)
Modesto, CALIFORNIA – April, 2021 — Graceada Partners and Osso Capital are pleased to announce the acquisition of The Edge at Lakewood on 1401 Lakewood Ave in Modesto, California. The 196-unit apartment community is located a few miles outside of downtown Modesto and within walking distance of Lakewood Elementary School.
“We continue to see great potential in the Northern California region and a great deal of upside in multi-family assets here. And we’re excited to be working alongside a trusted partner like Osso Capital on this deal,” said Joe Muratore, CCIM, Principal with Graceada Partners. “As a Modesto-based firm, this property has been on our radar, and we thought this was an ideal acquisition given our knowledge of the market and ability to add value.”
Built in 1985, the Edge at Lakewood was partially renovated by the former owner between 2019 and 2020. Graceada and Osso plan to continue the renovation and add amenities, such as a renovated clubhouse and fitness facility, pet park, and various sustainability features.
“We look forward to making The Edge a cutting edge example of sustainability by adding electric vehicle charging stations, community Wi-Fi, and solar power,” said Olivia John, Founder & CEO of Osso Capital. “We have strong conviction in the Modesto multifamily market and the Central Valley region more broadly, and we are excited about expanding our presence in the area.”
Located 90 minutes east of the Bay Area, Modesto is a growing city with high demand for quality housing. The Lakewood neighborhood of Modesto boasts one of the highest median household incomes in the region at $83,000.
This acquisition is an investment from Graceada Partners Fund II and Osso Multifamily I.
ABOUT GRACEADA PARTNERS
With over $500 million of assets under management, Graceada Partners invests in value-added real estate by renovating, rebranding, and leasing-up space. They are the market leader specializing in commercial real estate investment in California’s fastest growing region, the 7.5 million population Central Valley. Born in 2008 during the heart of the Great Recession, they are seasoned experts with looming economic uncertainties, which has allowed them to turn market dislocation into successful investments.
Graceada Partners’ “secret weapon” is the partnership between the firm’s principals, a partnership built on 35 years of friendship and mutual respect. This allows them to challenge each other and create an environment that fosters competitiveness and innovation while limiting confirmation bias in investment and market analysis.
The firm targets investments underwritten to a 15% IRR minimum and is currently investing Graceada Partners Fund III. Graceada Partners’ historical equity multiple is 2.76.
ABOUT OSSO CAPITAL
Osso Capital is a New York City-based multifamily-focused investment firm led by Olivia John, a former Managing Director at Blackstone.
Osso’s investing premise is “old school meets new school.” Specifically, Osso combines institutional investment and asset management practices garnered from its core leadership team’s average of 17 years of industry experience with a focus on utilizing data and automation to drive real‐time insights that better inform investment decisions, while also being deeply committed to implementing ESG initiatives internally and within the Osso portfolio.