SAN JOSE—Waterstone Apartment Homes, a 432-unit community, has been acquired by Grosvenor Americas, for $160 million or $370,370 per unit. Waterstone has 43 two-story residential buildings and is located at 3980 Ellmar Oaks Dr. on more than 22 acres.
Grosvenor plans to spend more than $16 million on capital improvements that will include a new free-standing leasing facility, upgraded fitness center and interior suite modernization. The complex was built in 1988 and current features include covered parking with some units including garages, updated kitchens, private patios or balconies in every home, concierge services, business center, in-unit washers/dryers, a pool and a spa. The grounds feature lush landscaping, ponds and fountains.
Grosvenor senior investment manager Peter Staver, tells Globest.com: "Waterstone represents a unique opportunity to acquire a low density residential community with access to public transportation. There is a clear path to improve the resident experience by renovating unit interiors to a modern standard and developing new leasing, fitness and recreational amenities."
The property is close to major employers such as Cisco Systems, eBay, Samsung, Adobe Systems, Apple, Google and Netflix. Waterstone offers residents a quiet environment while near the Capitol Expressway, Highways 280 and 101, and public transportation, including Caltrain. Neighborhood parks, shopping and dining are also nearby.
"Waterstone is an ideal opportunity to acquire an attractive asset with value-add potential, access to public transportation and proximity to major employers," said Staver. "Waterstone's location is supported by the area's strong retail and entertainment centers, recreational opportunities and points of interest throughout the Bay Area."
As previously reported, Grosvenor provided financing for two Dogpatch condominium projects earlier this year.
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Lisa Brown
Lisa Brown is an editor for the south and west regions of GlobeSt.com. She has 25-plus years of real estate experience, with a regional PR role at Grubb & Ellis and a national communications position at MMI. Brown also spent 10 years as executive director at NAIOP San Francisco Bay Area chapter, where she led the organization to achieving its first national award honors and recognition on Capitol Hill. She has written extensively on commercial real estate topics and edited numerous pieces on the subject.
