In a sign that the multifamily market will not be slowing down in the near future, West Hollywood and Miami-based Trion Properties is looking to test the market by putting its Parc 88 property in Fremont up for sale. Trion is hoping the 88-unit property, located at 4445 Stevenson Blvd., will fetch pricing of $42 million, or $477,272 per unit.
Trion has owned the property since September of 2017, when it paid $26.5 million for the asset, according to public records reviewed by The Registry.
The company is working with the San Francisco office of Transwestern on the marketing of the property. The lead agent on the sale is Shivu Srinivasan, a senior director with the firm.
The property features two-story townhome-style units with enclosed patios. 72 units are 2 bedroom, 1.5 bathroom units, and 16 are 3 bedroom, 1.5 bathroom units. All of the units in the property have been renovated and they feature quartz counter tops, shaker cabinets, vinyl plank flooring, stainless steel appliances, dual pane windows, and new bathrooms, according to Srinivasan. In addition, all the units have washers and dryers, and the property offers 2:1 parking ratio.
The going-in cap rate for this property is 4.54 percent, which is much higher than most competing listings in today’s market, says Srinivasan.
Srinivasan said that the latest lease-ups for the 2-bedroom units are at $2,945, and the asking rent for the 3-bedroom units is $3,400. He estimates that rents in Fremont have gone up in the range of 10 percent to 15 percent over the last year, and he sees additional rental upside remaining in the property, as well. This trend has been playing out across the broader region, as well. According to a recent, July of 2022 Yardi Matrix Multifamily Report for Silicon Valley, multifamily assets showed strong fundamentals approaching midyear 2022. This is partially driven by the lack of new housing provided in the market, but also by high occupancy rates of over 95 percent and unemployment in the region that is at the lowest level in a decade at 2.2 percent, outpacing both the national and state averages.