$30M financing arranged for San Jose affordable housing community

LOS ANGELES, Oct. 29, 2024 -  JLL Capital Markets announced today that it has arranged a $30,168,200 refinancing for Monte Alban Apartments, an affordable housing complex in San Jose, California.

JLL worked on behalf of the borrower, The John Stewart Company, to secure the 35-year, fixed-rate HUD 223(f) cash-out refinance loan.

Monte Alban Apartments, located at 1324 Santee Dr., is situated in a prime location near public transit, retail opportunities, schools and employment centers. The community enjoys convenient access to SR-101, I-680 and I-280. It is also a short drive away from the San Jose Mineta International Airport.

San Jose's real estate market is characterized by high demand and limited supply, making Monte Alban Apartments an attractive investment. The property benefits from strong fundamentals, including high occupancy, below-market rents and an experienced sponsor in a supply-constrained market with rising rents.

Built in 1970 and renovated in 2006, the property consists of 192 garden-style units across 12 buildings, offering a mix of one-, two-, three- and four-bedroom apartments. The community maintains 100% occupancy with many long-term tenants and provides rents 40-60% below market rates. Monte Alban Apartments offers a range of amenities including air conditioning, appliances, a community room, laundry facilities, an exercise room, a basketball court, two swimming pools and two playgrounds.

The refinancing allows for $47,000 per unit in property renovations and upgrades.

JLL Capital Market's Debt Advisory team representing the borrower was led by Senior Director Anson Snyder.

JLL Capital Markets is a full-service global provider of capital solutions for real estate investors and occupiers. The firm's in-depth local market and global investor knowledge delivers the best-in-class solutions for clients - whether investment sales and advisory, debt advisory, equity advisory or a recapitalization. The firm has more than 3,000 Capital Markets specialists worldwide with offices in nearly 50 countries.

For more news, videos and research resources, please visit JLL's newsroom.

Jones Lang LaSalle Americas, Inc. ("JLL") is a real estate broker licensed with the California Department of Real Estate, license #01223413.