San Francisco’s Top 10 Apartment Owners
- May 09, 2017
The rise of San Francisco as an emerging tech market over the course of the years made the metro one of the hottest housing and rental markets in the nation, as well as worldwide. However, the extreme home prices and expensive rents are not necessarily a sign that the housing market is in a bubble, about to pop. After a prolonged period of above-trend increases, rent growth at the beginning of 2017 decelerated, along with home sales. Still, a slowdown isn’t necessarily bad news for a city where the median home price is around $800,000.
Currently, The City by the Bay is seeing the biggest apartment construction boom in the last 75 years. This list comprises the top ten owners of multifamily units across the San Francisco-Peninsula metro area. The list includes properties in all stages of development, from completed to under construction, planned and prospective, with data provided by Yardi Matrix.
10. Trinity Properties
Founded in 1949, Trinity is a San Francisco-based owner and developer. Seven decades in the real estate business, the company has more than 3,100 units in the city. Its 13 communities are all located in core submarkets, including Eastern San Francisco, Market Street and NE San Francisco. The 540-unit 33 8th Street at Trinity Place is the largest multifamily community in the portfolio, which is currently under construction in the Eastern San Francisco submarket. From studio to three-bedroom options, 1000 Chestnut is the most expensive property, where average monthly rents rest at $4,364 and three-bedroom apartment rents equate to $7,228.
9. The 601W Cos.
The 601W Cos. of New York City got a slice of the action at one of the largest projects in San Francisco, namely the Parkmerced Vision Plan. The project will be a unique take on the city, transforming the historical Parkmerced neighborhood into a sustainable, energy-efficient and pedestrian community. The project will also include retail, office space and additional live-work-play amenities. The firm is building and planning roughly eight communities in the city, in and around the project. Its portfolio consists of 3,300 units.
8. The Tenderloin Neighborhood Development Corp. (TNDC)
One of the top providers of affordable housing communities in San Francisco, TNDC owns 25 communities, of which 22 are fully affordable. Established in 1981, the non-profit’s portfolio encompasses a total of 3,351 units in the city, the bulk of which located in the Tenderloin neighborhood. The largest multifamily community is the fully affordable Civic Center Residence located in the Market Street submarket, which totals 212 units. TNDC owns 2,734 low-cost housing units throughout San Francisco.
7. Mercy Housing
Having the most multifamily properties in this list, Mercy Housing owns 34 communities throughout The Golden City. Also a non-profit organization, its housing options and supportive programs are aimed towards low-income residents. Mercy Housing’s centrally located assets offer convenient city living, although it also has several properties north and south of the city in Lucas Valley, San Rafael and Daly City. All of its 3,396 units are fully affordable.
6. Gerson Bakar & Associates
San Francisco-based Gerson Bakar specializes in luxury rentals and manages a wide variety of communities in the West Coast. However, in San Francisco the firm owns two market rate properties: The 432-unit Crystal Springs Terrace and the enormous 3012-unit, 113-building Westlake Village. Situated on 47 acres, the asset boasts townhouses, studios and one-, two- and three-bedroom residences, averaging 647 square feet. With its Broadmoor Daly City submarket location, studio rents at Westlake Village equate to $1,797 and three-bedroom townhouse rents rest at $4,201 per month.
5. AvalonBay Communities
The publicly traded real estate investment trust from Arlington, Va. owns and operates 13 multifamily communities in San Francisco. It’s 4,060-unit portfolio is divided almost equally: half luxury (2,003 units), half market rate (2,057). The LEED Platinum certified Avalon Hayes Valley ranks as the most expensive property, offering studios and one- and two-bedroom apartments with multiple bathrooms. Monthly rent for a two-bedroom unit with a one and three quarter bathroom is $6,748. Six of Avalon’s communities are partially affordable, including the largest: The 823-unit Avalon at Mission Bay North in the Eastern San Francisco submarket.
4. Maximus Real Estate Partners
Maximus Real Estate Partners is a real estate investment and development company from San Francisco, which owns a total of 4,140 units in The City by the Bay. The 3221-unit Parkmerced in the SW San Francisco submarket is the firm’s largest community, situated on 144 acres. All 47 mid- and high-rise buildings in the community are managed by Sutro Management Group. Maximus purchased Parkmerced in 2014 for $1.4 billion from Rockpoint Group, and announced plans to invest up to $6 billion in 20 years to transform the community. The firm’s entire portfolio consists only of four San Francisco properties.
3. Related Cos.
Holding more than 48,300 units in its national portfolio, the privately owned real estate firm lands the third spot on the list, with 4,222 San Francisco multifamily units, of which 862 fully affordable. Founded in 1972, the New York City-based company manages both residential and commercial assets valued at over $30 billion, Related having offices around the world, including in Abu Dhabi, Shanghai, San Francisco and more. Nine out of its 11 San Fran multifamily properties are located in core areas of the city, with eight being in different stages of development, including the 1,685-unit Hope Sunnydale in the SE San Francisco submarket.
2. Essex Property Trust
Headquartered in Palo Alto, Calif., the REIT owns roughly 63,000 units nationally, and 4,810 units in The Golden City. Its San Fran portfolio encompasses 14 properties, scattered across different parts of the peninsula. Four communities are luxury, 1,686 units in total. Averaging $4,554 per month, the LEED Gold certified, 463-unit Mosso features the most expensive housing options in Essex’s SF portfolio. Monthly rent for a two-bedroom, 1,117-square-foot apartment is $6,762, five times more than the national average. Encompassing 697 units, Hillsdale Garden is the largest in the portfolio, located in the San Mateo submarket.
1. Equity Residential
The top owner in San Francisco, the Chicago-based REIT’s portfolio consists of about 83,000 units and 290 properties nationally, and 6,382 units and 23 properties in The City by the Bay. All of Equity’s communities are located along or near major thoroughfares across the peninsula, including interstates 80 and 280 and U.S. Route 101. Park Place at San Mateo registers as the largest asset, with 575 units. By far, the most expensive apartment option is at 340 Fremont. Monthly rent at this luxury tower for a three-bedroom unit with two and a half bathrooms is $8,092, six and a half times more than the national average. Even so, occupancy rate was at 89 percent as of February 2017.