Milpitas, Calif.—The Silicon Valley multifamily market continues to grow, hot on the heels of continued improvement from the tech market. The latest residential deal was completed by Interstate Equities Corp., as the institutional fund manager paid $46 million for a Milpitas community. The transaction was arranged by Institutional Property Advisors representatives Salvatore Saglimbeni, Stanford Jones, and Philip Saglimbeni, as well as Marcus & Millichap representative Carlos Azucena.
Located at 555 S. Park Victoria Drive, the 137-unit community will be rebranded from Meritage Apartments to 555 Apartments. The 43-year-old property is likely to undergo a number of capital improvements that will add value to the asset. Capital improvements, rebranding, and management efficiencies are some of the moves that the company estimates will significantly increase the value of the asset.
Similar deals completed by IEC across California include Woodside North & South in Redwood City ($15.4 million), Pacifica Glendale in Glendale ($8 million), and The District in Fremont ($6.9 million). “We continue to target mid-teen returns for our investors, and our hyper-local expertise and hands-on approach enable us to achieve those expectations,” IEC Co-President Marshall Boyd said in a statement.
Image courtesy of IEC