A Beverly Hills–based nonprofit has shelled out roughly $87.7 million for a 262‑unit apartment complex in Willow Glen, in a move the group says will help protect below‑market housing in one of the region’s tightest rental markets. The Bedford Affordable Housing Foundation acquired Almaden Terrace at 2118 Canoas Garden Avenue, taking stewardship of a property that serves families across South San José.
The deal in detail
As reported by The Real Deal, the foundation bought the two‑story Almaden Terrace for about $87.7 million from a limited partnership called Willow Glen Associates West. The brokers on the sale were Dennis Danielian and Jesse Goldstein of TCI Properties, and the price works out to roughly $334,733 per unit.
Financing and sponsors
According to CSCDA, the issuer signed off on a $112,295,000 tax‑exempt bond issuance for Almaden Terrace and named Post Real Estate Group as the project sponsor. San José finance documents also list the project under Foothill Almaden Terrace, LLC with a $125,000,000 note and bond figure, reflecting the stacked financing structures typically used to fund acquisition and rehab.
Affordability commitments
Documents tied to the sale set long‑term affordability covenants that preserve most of the complex as rent‑restricted housing. The Real Deal reports the agreement requires at least 40 percent of apartments, about 105 units, to be reserved for low‑income residents, while at least 75 percent, roughly 197 units, must be kept for households earning at or below 80 percent of area median income.
Part of a larger trend
Outside buyers and nonprofits have been busy in San José’s subsidized housing market this year. In March, a Beverly Hills affiliate paid about $41 million for a 152‑unit, income‑restricted complex on Almaden Road, a deal we covered in Hoodline, underscoring how outside capital is reshaping locally restricted housing.
What’s next for residents
The two‑story community, built in the 1970s, offers shared amenities such as a pool, media room, movie theater, picnic areas and a dog park, according to Apartments.com. CSCDA states that the project will undergo interior and exterior renovations as part of its conversion to affordable housing. That kind of rehab typically comes with tenant notices and a construction timetable that residents, advocates and city officials are likely to watch closely.
