By Meghan Hall
A deal has been struck in Suisun City as plans for development at a long-vacant property are finalized. The project, known as the Blossom Avenue Apartments, was sold by O’Brien Homes, a Bay Area-based homebuilder. Red Tail Multifamily Land Development purchased the asset. The purchase price of the property was not disclosed.
The property has not yet been assigned an address, according to public records, but is located at the intersection of Railroad Avenue and Blossom Avenue. Public records indicate that the asset was historically used for agricultural purposes, although it has remained vacant since 1974.
“This well-located project will be a great addition to Suisun City and Solano County,” said Kidder Mathews multifamily investment broker Matthew Clark, who represented O’Brien Homes in the deal. “The suburbs continue to be of high interest for developers looking in the Bay Area, and Solano County has weathered the pandemic well as residents have sought out more space.”
The proposed project at the site would build nine separate three-story buildings that would total 169,728 square feet. In all, the building configurations would result in 180 garden-style, multifamily units. Residences would be a mix of one-, two- and three-bedrooms, according to project plans on file with the City of Suisun. Units are expected to range from 704 square feet to about 1,300 square feet in size. Plans indicate that 60 one-bedroom, one-bathroom units, 96 two-bedroom, two-bathroom units, and 24, three-bedroom, three-bathroom units will be built.
The community would also include a one-story community building totaling about 3,900 square feet, as well as 22,930 square feet of common open space. The common open space will include a pool and spa, tot-lot, dog park and other outdoor amenities. Public documents also show that utility infrastructure, covered and uncovered surface parking, as well as frontage improvements and landscaping are planned.
The development team hopes that such a project will fare well in the market. Suisun City is located in Solano County, the most northerly of the nine main Bay Area counties. In recent years, Suisun City has grown thanks to a number of major employers ranging from Travis Air Force Base to Genentech, Anheusesr-Busch, Janssen Pharmaceuticals and Jelly Belly. The presence of such companies has contributed to 24 percent job growth in recent years and an unemployment rate of 3.4 percent.
Timing for the project’s delivery is unclear. However, as of the end of May, the project was working its way through the environmental review process, according to City documents.
The potential construction of the Blossom Avenue Apartmentsis a major milestone for Suisun. Suisun City itself continues to see positive rent growth over the past several years, particularly due to the fact that limited development has occurred in recent years. Reporting by Kidder Mathews indicates that about 877 multifamily units have been constructed over the past ten years. The city has “very limited” apartment stock, with only seven market rate buildings over ten units which account for 660 residences. The last multifamily project larger than 100 units was delivered in 1987.
As a result, garden style apartments in Class A buildings such as the Blossom Avenue Apartments, are renting for an average of $2,400 per month, and year-over-year rent growth for Suisun City over the past five years has averaged 8.5 percent. Occupancy for such units sits at about 96 percent and is likely to remain stable until supply can meet current demand.