The Harrison Apartments
Redwood City, CA - 15 units

Flite is excited to present Harrison Apartments, a wonderful and almost half vacant 15-unit apartment complex located in a highly desirable area of Redwood City, California.  Working closely with our Marcus and Millichap broker team, we were able to quickly secure the deal below market pricing and off-market for $6,000,000.  The property is located in an excellent residential neighborhood with many amenities nearby, including Whole Foods a block away, Safeway, retail shops and banks within walking distance as well as the Redwood City train station.

The complex was recently acquired by the current owner as a portfolio deal with numerous other properties.  They are looking to unload this property to reallocate their capital to other projects.  While under ownership, they filled 7 of the 15 units with tenants at close to market rents without doing any renovations to the units.  Flite has confirmed that the seller will keep the remaining units vacant until close of escrow.

Harrison Apartments has a highly desirable unit mix consisting of 10 one-bedroom/ one-bathroom units (average market rents $2,250) and 5 two-bedroom/ one-bathroom units (average market rents $3,100).  The units are of excellent size and most units have balconies/patios.  Every unit has a dedicated parking spot, with some of the units having 2 tandem parking spaces.  Also, residents have access to an onsite community laundry room. 

We project returns of almost 30% IRR at a compressed time frame of approximately 18 months and exit over $8 million when pegged at a conservative 3.80% cap rate.  The offering represents a truly rare multifamily opportunity and in one of the countries' most solid rental markets.

Flite is experienced to take on this unique challenge as we can quickly mobilize our contractor crews and start renovations in all of the vacant units immediately after close of escrow.   Our underwriting models have projected various ROI scenarios for a hold period from 1 year to 3 years to execute our strategy, accounting from a likely outcome to a more conservative approach for any market changes.  The robust high tech job growth, shortage of housing units, rent growth, proximity to shopping and public transportation, and core Silicon Valley location make Harrison Apartments a great opportunity for our  investors.

Progress Rehab Photos

Existing/ Inspiration Photos