$209 Million Non-Performing Multifamily Loan | San Jose, CA

特性

單位數量

539

落成年份

2022

建築物面積 (淨面積)

49,362 平方米

土地面積

0.79 公頃

資產詳情

Jones Lang LaSalle (“JLL”) has been retained on an exclusive basis to arrange the sale of a $167.1 million senior loan (the “Senior Loan”) and $41.8 million mezzanine loan (the “Mezz Loan”, collectively the “Loans”). The Loans were originated in October 2019 with a total commitment of $330.0 million to refinance and complete the construction of a two-tower Class-A condominium community with 32,350 square feet of ground-floor retail and abundant subterranean parking, located in Downtown San Jose (the “Property” or “Collateral”). The Loans are currently non-performing and in maturity default.

The Collateral consists of 539 luxury, expansive, condo-spec homes, well-appointed with stainless steel Bosch appliances, tile bathroom flooring and premium Kohler fixtures. Each home features oak cabinets with undercabinet LED lighting and plush carpeting in bedrooms, giving the units a truly modern style and feel.

The West Tower consists of 303 condominium homes, of which 202 remain vacant (101 have been sold and are not a part of the Collateral). The East Tower consists of 337 unsold condominium homes. All unsold homes will require some level of interior “finish work” construction.

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投資亮點

Lender’s Basis Represents A Significant Discount To Replacement Cost

The offering provides investors the rare opportunity to acquire a loan secured by a new-construction multi-housing property at a refreshed basis. The current Loan exposure of $387,584/unit represents a 58% discount to the current replacement cost of $925,000/unit.

Located At The Heart Of Silicon Valley’s Top Talent And Amenities

The asset’s ideal location in Downtown San Jose, the heart of Silicon Valley, means it is surrounded by some of the fastest growing companies in the Bay Area. Its close proximity to Silicon Valley’s largest employers, as well as Google’s future Diridon Station development, offers residents a true live-work-play experience in an expanding Downtown, urban location.

Strong Multifamily And Condominium Market Fundamentals

Both San Jose’s rental and for sale market have performed well post-pandemic, and are projected to see continued growth as Silicon Valley is propelled forward by the growth of tech and A.I. Since 2013, Silicon Valley has seen its median sale price of condominiums double, currently sitting at $925,000. With limited new supply expected to come online in the next 3-5 years, San Jose will see immediate impacts on both rents and sales.

Highly-Amenitized Asset Boasting 31,000 Square Feet Of Best-In-Class Amenity Space

The Property is a highly-amenitized, luxury asset which contains an abundance of amenity space for residents to enjoy. Boasting over 31,000 square feet of best-in-class amenity space, residents have access to 75-foot lap pool, a well-appointed fitness center, a communal lounge, and an expansive, resort-style spa deck, all within touching distance of San Pedro Square, Downtown San Jose’s most vibrant retail pocket.