In a market with few transactions, Colliers International recently closed the 64-unit portfolio sale of Marin Gardens and Marin Heights in San Rafael, CA. Colliers International’s Capital Markets Multifamily team represented Interstate Equities Corporation, an institutional fund manager, as the seller of Marin Gardens at 124 Merrydale Road and Marin Heights at 19 Merrydale Road. Colliers also procured the two private investor groups that purchased the properties. The portfolio sold for a little over $23 million (or roughly $360,000 per unit), representing the highest price per unit to ever sell for a building built before 2010 and the highest price per square foot for any multifamily property ever in San Rafael.
“The lack of available product and nearly impossible construction process continues to make Marin County one of the most sought-after locations for Bay Area multifamily investment. We achieved nearly 15 offers on the properties through a competitive marketing process,” states Senior Vice President, Ryan Wagner.
In addition to Wagner, the Capital Markets Multifamily team consists of Brandon Geraldo (Senior Vice President), Kalah Espinoza (Vice President) and Lauren Savett (Associate), who represented both the seller and buyer in the sale of the 1960s buildings.
“Mid-sized multifamily assets (20-100 units) throughout the Bay Area are still achieving premium pricing as investors pivot to avoid institutional competition,” shared Brandon Geraldo. “The 1960s apartment properties we just sold traded at a substantially higher price per square foot than the 2011-constructed asset two blocks away.”
The 46-unit apartment property, Marin Gardens, was 67% renovated at the time of the sale and offered large open floorplans consisting of 76% 1-bedroom units and 24% 2-bedroom units with one and a half baths. The property boasts of a large pool terrace and sundeck, and residents benefit from on-site storage lockers and parking. The site consists of four two-story, garden-style buildings.
Marin Heights is an 18-unit, motel-styled property that consists of two buildings. Residents are able to take advantage of the large garden courtyard, on-site parking and hillside views in most units. Both Marin Heights and Marin Gardens offer immediate proximity to nearby shopping and transportation to major employment centers and is walking distance to one of the largest farmers markets in California at the Marin Civic Center.
Colliers also worked with Interstate Equities in the previous acquisition of both properties in 2015 and 2016, respectively. In the most recent sale, Marin Gardens was an openly marketed transaction, while Marin Heights was an off-market transaction. Over the past 30 months, the Capital Markets Multifamily team has been involved in the sale of over $100 million in multifamily properties sold in Marin County–more than any other brokerage company or group.
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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.