Cityview Buys 130-unit Apartment Building in Dublin At A Haircut

Cityview has picked up a 130-unit apartment complex in Dublin for $46 million, 16 percent less than what it traded for seven years ago.

An affiliate of the Los Angeles-based multifamily investor led by Sean Burton bought the Tralee Village Apartments at 6599 Dublin Boulevard, SiliconValley.com reported.

The seller was JB Matteson, based in San Mateo.

The deal works out to about $354,000 a unit — not including its ground-floor retail, which Cityview said didn’t come with the deal.

JB Matteson bought the four-story, mixed-use apartment complex in 2017 for $55 million.

The apartments, built in 2008 across almost 4 acres, include one-, two- and three-bedroom units over 30,000 square feet of ground-floor shops and restaurants.

The apartment complex also includes a “resort-style pool,” a spa, fitness studio, neighborhood park, children’s play area and a resident lounge with Wi-Fi. Rents were undisclosed on various apartment sites.

In connection with the deal, the Cityview affiliate scored a $33.5 million loan from Invesco Commercial Real Estate Finance Investments.

“With a 95 percent average historical occupancy and robust market fundamentals, Tralee Village fits squarely in our strategy of acquiring communities in supply-constrained markets with high barriers to entry at significantly below replacement cost,” Cityview CEO Burton told SiliconValley.com in an email.

Cityview plans a comprehensive renovation of the interiors and common areas, including new floors, lighting, kitchen and bathroom countertops, he said.

In the wake of inflation and a spike in interest rates, sale prices for Bay Area apartments this year have dropped 5 percent per unit from a year ago, according to an analysis of high-profile deals by the news site run by the San Jose Mercury News.

Cityview, founded in 2003, has invested in 130 apartment complexes and now has 6,000 units under management in California, Oregon, Washington, Utah, Colorado, Arizona and Texas, according to its website.

In January, the firm bought six apartment buildings in Los Angeles and West Hollywood from New York-based Blackstone for a combined $63 million.

The Century City-based developer owns or manages several apartment buildings in the Bay Area, including 27 North, a 119-unit student complex near San Jose State University; and Arc Light, a 94-unit complex near Oracle Park in San Francisco.

In July, Cityview filed plans to build a 140-unit apartment complex at 1910 North Broadway in Walnut Creek.

— Dana Bartholomew