The Martin Group and STARS REI announced the acquisition of two apartment properties located in Oakland, California. On December 19th, the partners closed on the acquisition of Anton Edge, a brand-new 91-unit luxury apartment complex located in the heart of Oakland’s Pill Hill neighborhood. On December 28th, the partners closed on the recapitalization of Alice House, a recently completed 79-unit luxury apartment complex located in Oakland’s Lakeside neighborhood. Anton Edge will be rebranded as Edson House and operated in conjunction with Alice House to create a 170-unit portfolio.
“We are long term believers in Oakland’s growth trajectory based on the strength of its medical and other non-technology focused employment base,” said Justin Osler, Co-Managing Partner at The Martin Group, a leading multifamily developer in the San Francisco Bay Area. “We think the Pill Hill neighborhood will continue to flourish as centralized, large-scale medical facilities increase their physical footprint in the face of strong demand. Similarly, the Lakeside neighborhood’s access to Lake Merritt, BART and Oakland’s vibrant food scene as well as the upcoming pedestrian and cyclist improvements on 14th Street bode well for Alice House’s continued growth. We are thrilled to close both these transactions with STARS REI who has been an excellent partner.”
Both Alice House and Edson House consist of a mix of studio, one-, and two-bedroom units, all outfitted with quartz countertops, backsplashes, stainless steel appliances, full size washer dryers, wide plank flooring, kitchen islands, smart access control, as well as private outdoor space in some units. The buildings are both highly amenitized with abundant open space along with dog wash stations, chef’s kitchens, clubrooms, co-working spaces, BBQs and outdoor TVs.
“We maintain our long-term conviction on the Bay Area due to its irreplicable business ecosystem. Great opportunities appear in uncertain times, so instead of putting our pencils down, we are trying to be as active as possible in finding high-quality buildings such as these two. This was a unique opportunity to purchase a fully stabilized trophy mid-rise portfolio at a basis significantly below current replacement cost,” said Felipe Bertoni, Vice President at STARS REI, a privately held real estate investment management company headquartered in Santiago, Chile. “We are very excited to expand our Bay Area portfolio in these great neighborhoods with an experienced partner.”
JLL represented the Seller of Anton Edge. Additionally, financing for both transactions was arranged by JLL and provided by First Republic Bank. The JLL Capital Markets Investment Sales and Advisory team was led by Senior Managing Director Brandon Geraldo, Matt Kroger, Ryan Wagner and Max Machiorlette and the JLL Capital Markets Debt Advisory team was led by Senior Director Brandon Roth.
