The San-Francisco based Multifamily Capital Markets team of Colliers International represented the seller and procured the buyer in a 24-unit multifamily sale in Los Gatos, California. The $13.2 million price equated to approximately $548,000 per unit, setting a new high-water mark in Los Gatos for any multifamily asset over five units.
The property, Red Branch Apartments, is located at 16945 Roberts Road in the exclusive Los Gatos submarket, and all units feature spacious two-bedroom one bathroom layouts with large decks and balconies. The 12-building, 24-unit property was originally constructed in 1964 and has been extensively renovated over the last ten years, with most units offering clean modern finishes with in-unit laundry and open floorplans.
Offering some of the nicest rental units in Los Gatos, the Red Branch apartments offers a low-density layout with beautifully manicured landscaping and common area spaces. The seller had invested substantial time and money in the landscaping upgrades at the property, which created many outdoor rooms and a much higher quality living experience than most other rental properties in the region.
Los Gatos has long been one of the most desirable communities in Southern Silicon Valley, offering charming Victorian architecture, excellent public schools, a charming downtown and reasonable access to some of the highest-paying employers in the country.
The Colliers International team involved was lead by Senior Vice President Ryan Wagner, along with his team of Kalah Espinoza, Brandon Geraldo and Lauren Savett. According to Wagner, “The sale of this amazing property was a perfect scenario for a buyer and seller perfecting their respective exchanges, and both private parties were happy with the result.”
The pricing achieved in the process sets a new record for Los Gatos as the highest price per unit ever to sell in this wealthy enclave. According to Wagner. “Given the limited product and relative few transactions that take place in this silicon valley sub-market, our team was able to achieve maximum pricing while delivering a market-leading asset for the buyer in an extremely supply-constrained Silicon Valley submarket.” The appeal for well-located pristine rental properties remains strong amidst rising interest rates and a softening rental market. “There is still substantial appetite for trophy properties in the best Bay Area locations, and pricing is still holding strong.”
The Colliers team involved in the sale has also set record pricing in 1) Marin County – Highest price/unit ever sold, 2) Pacifica – Highest price/unit ever sold, 3) Daly City – highest price/SF ever sold as well as 4) the most recent record in Los Gatos for a 5-unit property in 2015 at $570,000 per unit.
The Colliers Multifamily Capital Markets team is lead by Senior Vice Presidents Ryan Wagner and Brandon Geraldo, as well as Vice President Kalah Espinoza and Associate Lauren Savett. In 2017 their team represented buyers and sellers in over $200 million in multifamily sales throughout the Bay Area, and they have closed in excess of $73 million in sales in 2018.
About Colliers International Group
Colliers International Group Inc. (NASDAQ and TSX: CIGI) is an industry-leading global real estate services company with 15,000 skilled professionals operating in 68 countries. With an enterprising culture and significant employee ownership, Colliers professionals provide a full range of services to real estate occupiers, owners and investors worldwide. Services include strategic advice and execution for property sales, leasing and finance; global corporate solutions; property, facility and project management; workplace solutions; appraisal, valuation and tax consulting; customized research; and thought leadership consulting.
Colliers professionals think differently, share great ideas and offer thoughtful and innovative advice that helps clients accelerate their success. Colliers has been ranked among the top 100 global outsourcing firms by the International Association of Outsourcing Professionals for 12 consecutive years, more than any other real estate services firm. Colliers also has been ranked the top property manager in the world by Commercial Property Executive for two years in a row.
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