Levin Johnston of Marcus and Millichap, one of the top multifamily brokerage teams in the U.S. specializing in wealth management through commercial real estate investments, has successfully directed four multifamily property trades totaling $36.25 million in Redwood City, California.
“The Redwood City submarket is a hub of investment activity for buyers seeking to deepen the value of their portfolio, and sellers leveraging current market fundamentals to achieve value,” says Adam Levin, Senior Managing Director of Levin Johnston. “This is a market with high barriers to entry, minimal competitive supply, and an economy that continues to grow rapidly, fueled by tech job growth and rental demand.”
The city posted job growth of 3.8 percent in the past year and is projected to grow by 44.6 percent in the next ten years – higher than the U.S. average of 38 percent.
“As this growth and demand continues, we are increasingly generating creative solutions to help multifamily investors create long-term value,” says Robert Johnston, Senior Managing Director of Levin Johnston. “These recent transactions demonstrate the continued strength of the Bay Area multifamily investment market.”
Levin Johnston’s recent transactions include:
$10.45 Million Acquisition of Farm Hill Apartments
Levin Johnston directed the acquisition of a 23-unit apartment community on Farm Hill Boulevard in Redwood City for a total consideration of $10.45 million. Originally built in 1959, the property presents a value-add opportunity for the buyer, a private investor who was represented by Levin Johnston in the transaction.
“As cap rates compress and investment demand remains high, it is becoming more difficult to identify well-priced, under-improved assets where deep value creation is possible,” says Levin. “In this case, we were able to draw upon our relationships within the local investment community to identify an older, well-located property that offers the buyer the opportunity to implement improvements and increase NOI, resulting in long-term value for the new owner.”
Situated on 0.44 acres, the multifamily community is in close proximity to local schools, dining, shopping, and entertainment. The property is located at 3530-3540 Farm Hill Boulevard in Redwood City, California.
The seller, a private investor, was represented by Marcus and Millichap.
$21.8 Million Sale of 180 Flats
Levin Johnston also recently directed the $21.8 million sale of 180 Flats, a 48-unit apartment community in Redwood City. Levin Johnston represented the seller, a private equity investment firm, in the transaction.
“During our client’s ownership, this property was transformed into a beautifully designed, dynamic community that will maintain high rental demand for years to come,” says Johnston. “The investment appeal of the asset is driven by Redwood City’s strong employment fundamentals and low vacancy levels. We were able to identify and secure a buyer who recognized the value in this upgraded property and understood its potential to attract a steady stream of Peninsula renters based on its close proximity to major employers, transportation corridors, shopping, dining and entertainment options.”
Situated in a quiet residential neighborhood, the property was originally constructed in 1964, and now offers upgraded studio, one and two-bedroom apartment homes featuring spacious open floor plans, walk-in closets, private balconies and state-of-the-art appliances. The property also features designer finishes, two open community courtyards with BBQ areas, and a new dog park.
The buyer was a nonprofit organization.
Sale of a Five-Unit Multifamily Property in Silicon Valley
Levin Johnston also directed the sale of a five-unit multifamily property located on Standish Street in Redwood City for $2.1 million. Adam Levin and Robert Johnston represented both the seller and buyer – both private investors – in the transaction.
“As Bay Area investors continue to seek opportunities for wealth creation, the investment criteria for many buyers is evolving and shifting to smaller properties,” explains Levin. “In case, there was tremendous upside potential for the buyer, who will benefit from the property’s irreplaceable location and recent improvements, while the seller was able to achieve a strong return on investment.”
The property, which was built in 1961, was recently renovated to include high-end finishes and updated in-unit amenities.
Situated near Mezes Park, residents have easy access to local tennis courts, basketball courts, a playground and picnic tables, while also living in close proximity to major employers, transportation corridors, shopping, dining and entertainment options.
The property is located at 436 Standish Street in Redwood City, California.
Duplex Sale in Downtown Redwood City
Levin Johnston also directed the sale of a 4,098 square-foot duplex situated in the heart of downtown Redwood City, in close proximity to U.S. Route 101 as well as Interstate 280, Highway 92 and the San Mateo and Dumbarton bridges.
Levin Johnston represented both the buyer and seller in the $1.8 million transaction.
“As a team, our focus goes beyond the transactional mindset and encompasses a more macro view of wealth creation for our clients,” says Johnston. “In this case, we were able to bring together a seller and buyer who achieved a win-win in the trade of this bright, spacious duplex situated in the vibrant and historic downtown Redwood City.”
The duplex property features a two-bedroom/two-bathroom upstairs unit and a three-bedroom/2.5-bathroom ground floor unit. Each apartment has its own designated parking garage, walk-in closets and in-unit washers and dryers.
The property is located at 1631-1633 Kansas Street in Redwood City, California.
About Levin Johnston
Levin Johnston Group is one of the top multifamily brokerage teams in the U.S. specializing in wealth management through multifamily and commercial real estate investments. With a focus on growing and sustaining wealth for each and every Client, the Levin Johnston team is expert in investment sales and acquisitions, value-driven asset management, 1031 exchanges, and ongoing advisory services. Since its inception, Levin Johnston Group has directed more than $2 Billion in transactions, resulting in stable risk-adjusted returns for investors throughout the U.S. Levin Johnston Group is part of Marcus & Millichap’s Palo Alto office.