LINQ apartments in San Jose's Berryessa District, situated at 1700 Newbury Park Drive near the corner of Maybury Road and King Road. (Core Cos., Republic Urban Properties
Two real estate companies have teamed up to buy a San Jose apartment complex for more than $90 million — although the purchase price is well below the property’s assessed value.
Ethos Real Estate, whose expertise is the creation of affordable housing; and Prospect Ridge, a real estate investment firm, have joined forces through an affiliate to buy Linq, a 230-unit multifamily residential property at 1700 Newbury Park Dr. near the Berryessa BART station in northeast San Jose.
The Prospect Park and Ethos Real Estate affiliate paid $97.6 million for the Linq residential hub, according to documents filed on Sept. 3 with the Santa Clara County Recorder’s Office.
The apartment complex is relatively new. Core Cos. and Republic Urban Properties completed development of the residential hub in 2016.
The just-completed transaction produced a price that equated to slightly more than $424,300 a unit. This price is higher than the per-unit values that arose from some recent apartment deals in Santa Clara County. The recent deals were all below $300,000 a unit.
The per-unit price was robust and holds up well when measured against other South Bay deals in the last year or two.
Still, by other key benchmarks, the transaction is a reminder that the Bay Area apartment market remains feeble due to an array of uncertainties.
The $97.6 million purchase price for Linq was 6% below what the seller, an affiliate of Stockbridge Partners, paid for the apartment hub in 2019. The recent price is also 13.7% below the property’s value as of January 2025, as estimated by the Santa Clara County Assessor’s Office.
Property value outcomes can affect revenue for an array of public agencies.
If real estate values turn soft in a region, the decline could choke a crucial revenue stream for cities, counties, regional agencies and school districts.
In prior endeavors, Ethos Real Estate participated in the purchase of apartment complexes and then worked to preserve affordable housing at the properties.
Ethos Real Estate teamed up with Bridge Workforce & Affordable Housing to buy the 193-unit Sofi at Los Gatos Creek in San Jose. The property was bought to ensure it remained affordable for the average worker.
Besides the San Jose deals, Ethos Real Estate has teamed up with real estate investment firms to buy apartment properties in Walnut Creek, San Mateo and the Orange County city of Santa Ana.
“We focus on providing a spectrum of housing solutions, from ground-up development to the preservation of affordable housing,” Ethos Real Estate says in a post on its website.
Originally published at George Avalos