A Los Angeles-based real estate investment firm, TruAmerica Multifamily, announced in December they purchased a 170-unit multifamily complex in Gilroy called the Vineyards for $38.3 million, according to a press release.
The complex, located at 7936 Westwood Dr., is comprised of two-story townhomes and lofts, in addition to one-bedroom and two-bedroom apartments on nearly six acres.
“The Bay area is one of the regions where we intend to expand our footprint and we anticipate further acquisition activity there this year,” said TruAmerica Director of Acquisitions Greg Campbell, who added the firm also recently purchased San Jose’s Avenal Apartments. “The Vineyards presented an opportunity to invest in a high quality apartment asset in a submarket with a very slow growth approach to multifamily development.”
According to Campbell, the Vineyards in Gilroy is already approaching a current occupancy of 97 percent.
“TruAmerica intends to further enhance the property through capital upgrades to the unit interiors, which will include replacing carpet flooring in the living areas with plank flooring,” said a representative for the firm, Kimi Ozawa, in the release.
Ozawa detailed future upgrades to common area amenities, including adding new furnishings to the pool area, additional fitness equipment to the gym and making landscaping improvements. The firm will also be “aggressively marketing” the units to prospective tenants throughout the Silicon Valley.
“While Gilroy is well-known for its garlic and vineyard industries, the city is also conveniently located between San Jose and Monterey, making it an ideal home for commuters to both employment centers,” Ozawa added. “Boasting a median income of approximately $100K and the community-feel of a small town, Gilroy also provides residents a high quality of life by offering residents an alternative to the North Bay’s traffic and congestion.”
According to TruAmerica, the transaction was brokered by Institutional Property Advisors, a national multifamily brokerage firm.
