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The Sharon Green Apartments in Menlo Park’s Sharon Heights neighborhood were recently sold for $245 million, or $828,000 per apartment, according to the seller, Essex Property Trust, based in San Mateo.
The sale may be a record for the Peninsula, according to the Silicon Valley Business Journal. The sale amount surpassed the next-highest deal on the Peninsula by $165,000 per unit, based on the Real Capital Analytics’ database of apartment transactions, the Journal reported.
The apartments were sold by Essex Property Trust to an affiliate of Deutsche Asset and Wealth Management and Maximus Real Estate Partners.
Located at 350 Sharon Park Drive, the property was completed in 1970 and contains 296 apartments, Essex Property Trust said.
Does this mean that these apartments will be torn down and replaced? If so, would that be luxury apartments or more dense apartments? Does Menlo Park have controls in place so housing units will not be lost?
Stand back and wait for rents to skyrocket. Will the insanity in housing never end?
Rental rates are stabilizing…and even dropping in crazy downtown PA…Craigslist postings and reductions after initial postings confirm. Examples…101 Alma upper floor 2 br view corner unit with updates dropped 10% from asking after on market for over 6 weeks…Downtown North PA…prime rental area….updated Bryant Ct 1 br with garage and personal inside laundry went begging for 6 weeks…dropped 10% before finally rented….
lDouble income couples buying first time abodes with inflated stock options and historically low mortgage rates with after tax monthly cost about same as inflated rent rates for 1-2 bedroom apts
New inventory with superior amenities coming up in area.
Menlo Park below market rental ordinance together with stabilizing apt rent market will daunt Wall Street and internationals from getting greedy and will chaste their investors with long overdue reality check on valuations
This sale could be a step in converting the current rental apartments to condos.
If the developer put $100k in improvements to updated the units, they should be able to see the refreshed units at 1.5 Million.
In the late ’70s there was an effort to convert Oak Creek Apartments on to condos, but that defrost was met with a lot of resistance.
(Apologies for the above. Fooey auto complete)
This sale could be a step in converting the current rental apartments to condos.
If the developer invested $100k in improvements for each unit, they should be able to sell the upgraded units at 1.5 Million.
In the late ’70s there was an effort to convert Oak Creek Apartments on Sand Hill to condos, but that effort was met with a lot of resistance and the plan was dropped.